SoftBank Pivots to AI and Chip Investments Amid Vision Fund Job Cuts

SoftBank Group has slashed 20% of its Vision Fund workforce, marking its third round of layoffs since 2022. The cuts come despite strong recent performance, signaling a strategic shift toward concentrated bets in artificial intelligence and semiconductor infrastructure.

Founder Masayoshi Son is steering capital toward U.S.-based AI ventures and data center projects, abandoning the fund's earlier venture capital approach. The MOVE reflects Son's trademark high-risk investment style as SoftBank positions itself at the center of what it sees as a $500 billion AI and chip ecosystem.

Market reaction was volatile, with SoftBank shares initially dropping before closing 0.66% higher at ¥18,375. The fluctuation underscores investor uncertainty about this aggressive pivot from startup funding to capital-intensive tech infrastructure plays.