SoftBank Corp’s shares rose as much as 8% on August 12, 2025, driven by investor optimism about its AI initiatives.

Bloomberg reported that SoftBank is the buyer of Foxconn’s Ohio electric vehicle plant, which will be integrated into its US$500 billion Stargate data center project with OpenAI and Oracle.

The move has led to speculation that SoftBank could revive the stalled Stargate project and benefit from increased demand for AI infrastructure in the US.

SoftBank’s shares have gained for five consecutive trading days and were on track to close at a record.

The company is also selling Vision Fund assets and preparing for a potential IPO of Japanese payments app PayPay, while Foxconn said the Ohio plant was sold to Crescent Dune LLC for US$375 million without naming SoftBank.

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🔗 Source: Bloomberg

🧠 Food for thought

1️⃣ Vision Fund recovery fuels investor confidence in SoftBank’s AI strategy

SoftBank’s stock rally comes at a particularly opportune moment, coinciding with the Vision Fund’s strongest performance in four years.

The fund reported a $4.8 billion gain in the fiscal first quarter, marking its largest increase since June 2021 and helping drive SoftBank’s overall profit of $2.87 billion 1.

This represents a dramatic turnaround for the Vision Fund, which had experienced significant volatility and losses in recent years, making investors more receptive to SoftBank’s ambitious AI infrastructure plans.

The timing suggests that investors view the Stargate project as part of a broader strategic shift that’s already showing financial returns through the fund’s existing AI-focused portfolio companies.

2️⃣ Strategic asset repurposing reflects pragmatic approach to AI infrastructure demands

SoftBank’s $375 million acquisition of Foxconn’s Ohio EV plant demonstrates a more capital-efficient approach to building AI infrastructure compared to ground-up construction 2.

Rather than spending billions on new data center facilities, the company is repurposing existing industrial infrastructure that already has the electrical capacity and manufacturing capabilities needed for AI server production.

This strategy aligns with the massive scale of the $500 billion Stargate initiative while addressing the urgent timeline pressures facing AI infrastructure development.

The approach reflects lessons learned from SoftBank’s extensive portfolio experience, with the Vision Fund having invested in 332 companies worth $166 billion, providing insights into infrastructure scaling challenges 3.

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