SoftBank and OpenAI's Japanese Joint Venture Faces Significant Delays

SoftBank, OpenAI Japan AI joint venture is delayed, source says

TOKYO, Sept 18 (Reuters) - SoftBank's (9984.T), opens new tab plans to set up a joint venture with OpenAI to bring artificial intelligence services to corporate customers in Japan are significantly behind schedule, according to a source familiar with the matter. The joint venture was supposed to be set up this summer but preparations are taking longer than anticipated, with an update on progress expected in November, the source said, declining to be named as the details are not public. SoftBank said preparations were proceeding but declined to comment on details. OpenAI did not immediately respond to a request for comment. SoftBank CEO Masayoshi Son announced the venture, SB OpenAI Japan, with OpenAI CEO Sam Altman in February. SoftBank said the venture would be owned by OpenAI and a company established by SoftBank and its domestic telecoms unit. At a shareholder meeting in June, the CEO of the telecoms business, Junichi Miyakawa, said July-end was the target to set up the venture. The products the business will offer are in discussion, Miyakawa said. After a period of retrenchment due to a series of soured tech investments, Son is making splashy investments again, backing OpenAI and other ventures related to AI. The $500 billion Stargate project to develop data centres in the U.S. has been delayed by protracted negotiations with other parties and on decisions related to locations, SoftBank's chief financial officer Yoshimitsu Goto said last month. Reporting by Yusuke Ogawa; Writing by Sam Nussey Editing by Shri Navaratnam Our Standards: The Thomson Reuters Trust Principles., opens new tab

SoftBank, OpenAI Joint Venture Start Slips Past Schedule - SoftBank Group (OTC:SFTBY)

SoftBank Group Corp - ADR's SFTBY plan to form a joint venture with OpenAI to deliver artificial intelligence services to corporate customers in Japan has fallen significantly behind schedule. The companies aimed initially to launch the venture this summer, but preparations have taken longer than expected. An update is likely by November, Reuters reported on Friday. SFTBY is performing well relative to peers. Get the market research here. SoftBank CEO Masayoshi Son announced the venture, SB OpenAI Japan, alongside OpenAI CEO Sam Altman in February. SoftBank said OpenAI and a company jointly established by SoftBank and its telecom unit would own the venture. OpenAI is facing mounting financial strain as it struggles to meet its obligations under its $300 million agreement with Oracle. Reports indicated lack of funds to honor the deal, raising doubts about its future. In August, SoftBank reported first-quarter net sales of 1.82 trillion yen ($12.54 billion), up from 1.70 trillion yen ($11.71 billion) a year earlier. Also Read: SoftBank To Build $676 Million AI Data Center In Japan, Linked To OpenAI Partnership Arm Holdings PLC - ADR ARM sales rose 4% to 152.9 billion yen ($1.05 billion), but the unit posted a loss of 8.7 billion yen ($60 million) after higher R&D costs, reversing a 10.2 billion yen profit last year. SoftBank owns a controlling stake in the company. SoftBank's net income jumped to 421.8 billion yen ($2.91 billion), swinging from a 174.3 billion yen loss a year earlier. Gains on investments totaled 486.9 billion yen ($3.35 billion), led by Nvidia, offsetting losses on Alibaba and T-Mobile US. The Vision Fund delivered a 660.2 billion yen ($4.55 billion) profit versus 32.4 billion yen a year ago, powered by rising share prices in holdings such as Coupang, Symbotic and Auto1. SoftBank highlighted aggressive AI bets, including leading a $40 billion round into OpenAI, pursuing a $6.5 billion acquisition of Ampere Computing, and backing the $500 billion Stargate data center project in the U.S. SoftBank's $500 billion Stargate has also faced delays as it grappled with prolonged negotiations and site-selection decisions, CFO Yoshimitsu Goto said last month. Read Next: Nike's Sales, Margins Show Progress -- But Tariffs Still Cast A Shadow Photo Courtesy: Michael Vi on Shutterstock SFTBYSoftBank Group Corp$62.140.06%OverviewARMARM Holdings PLC$144.52-1.38%Market News and Data brought to you by Benzinga APIs

SoftBank's OpenAI joint venture in Japan faces delays - report By Investing.com

Investing.com -- SoftBank's plans to establish a joint venture with OpenAI to provide artificial intelligence services to corporate customers in Japan have fallen behind schedule, Reuters reported on Thursday, citing a person familiar with the matter. The joint venture was originally expected to be set up during summer 2025. An update on the progress of this partnership is anticipated in November, according to the report. The collaboration aims to bring OpenAI's artificial intelligence capabilities to Japanese corporate clients through SoftBank's distribution network. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

SoftBank, OpenAI Japan AI joint venture is delayed, source says

TOKYO (Reuters) -SoftBank's plans to set up a joint venture with OpenAI to bring artificial intelligence services to corporate customers in Japan are significantly behind schedule, according to a source familiar with the matter. The joint venture was supposed to be set up this summer but preparations are taking longer than anticipated, with an update on progress expected in November, the source said, declining to be named as the details are not public. SoftBank said preparations were proceeding but declined to comment on details. OpenAI did not immediately respond to a request for comment. SoftBank CEO Masayoshi Son announced the venture, SB OpenAI Japan, with OpenAI CEO Sam Altman in February. SoftBank said the venture would be owned by OpenAI and a company established by SoftBank and its domestic telecoms unit. At a shareholder meeting in June, the CEO of the telecoms business, Junichi Miyakawa, said July-end was the target to set up the venture. The products the business will offer are in discussion, Miyakawa said. After a period of retrenchment due to a series of soured tech investments, Son is making splashy investments again, backing OpenAI and other ventures related to AI. The $500 billion Stargate project to develop data centres in the U.S. has been delayed by protracted negotiations with other parties and on decisions related to locations, SoftBank's chief financial officer Yoshimitsu Goto said last month. (Reporting by Yusuke Ogawa; Writing by Sam NusseyEditing by Shri Navaratnam)