SoftBank Expands AI Footprint With $5.38 Billion Deal to Buy ABB's Robotics Unit — Update

By Dominic Chopping and Joshua Kirby

Japan's SoftBank Group agreed to purchase ABB's robotic business in a deal that values it at $5.38 billion, furthering the investment company's push into the business of artificial intelligence.

SoftBank said Wednesday that the acquisition of the division, whose valuation includes debt, would significantly strengthen its AI robotics operations.

Softbank has made other recent investments in AI, including tens of billions of dollars in ChatGPT-maker OpenAI. At the start of this year, Softbank Chairman Masayoshi Son stood alongside President Trump and OpenAI chief Sam Altman to announce a new data-center joint venture, Stargate. In March, Softbank announced the purchase of Ampere Computing, which designs AI chips.

In addition to data centers, SoftBank aims to invest and expand in AI robots, chips and energy, the group said Wednesday.

The sale marks a change of plan for ABB, which had been putting together a potential spinoff of the business and eyed a listing in the second quarter of next year. With limited synergies between robotics and the company's other divisions, and with different demand and market characteristics, ABB said a carve-out would boost value.

"SoftBank's offer has been carefully evaluated by the board and executive committee and compared with our original intention for a spin-off," ABB Chairman Peter Voser said. "It reflects the long-term strengths of the division, and the divestment will create immediate value to ABB shareholders."

ABB's robotics unit manufactures machines that automate everything from welding and painting to assembling parts and packing products, and has been at the forefront of the group's recent AI drive.

The timing and value of the deal are good news for ABB, analysts at RBC Capital Markets wrote. "This swift sale ends all discussion and uncertainty around the exit and ABB obtained a good price."

Shares in ABB rose following the news, gaining 1.8% to 59.50 Swiss francs in opening trade in Europe.

As a result of the agreement, ABB's head of robotics and discrete automation and executive committee member Sami Atiya will leave ABB by the end of 2026.

The SoftBank deal is subject to regulatory approvals and further customary closing conditions and is expected to close in mid-to-late 2026.

Write to Dominic Chopping at dominic.chopping@wsj.com and to Joshua Kirby at joshua.kirby@wsj.com; @joshualeokirby

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October 08, 2025 03:33 ET (07:33 GMT)