SoftBank Dumps Nvidia for Deeper OpenAI Bet

SoftBank has sold its entire stake in Nvidia. The massive sell-off generated $5.83 billion. The Japanese firm is directing that capital toward its “all in” bet on ChatGPT maker OpenAI, planning a $22.5 billion investment that will increase its ownership from 4% to 11%. This is not the first time SoftBank has cashed out of the chipmaker, having sold a $4 billion stake back in 2019. This latest move for “asset monetization” helped its Vision Fund post a blowout $19 billion gain. A source close to the matter stated the decision was not related to concerns over AI valuations but was a strategic play for capital.