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SoftBank’s $60 Billion OpenAI Bet Faces Internal Doubts as Debt Risks Grow

The debt-heavy wager leaves SoftBank exposed without a board seat at OpenAI.

Overview

  • SoftBank executives are voicing unease over the OpenAI deal, with reports saying the firm holds no board seat or observer rights.
  • The company has committed about $60 billion for roughly a 13% stake, placing it among OpenAI’s largest outside shareholders.
  • The investment leans on large borrowings, including a reported $40 billion bridge loan, and S&P has cut SoftBank’s outlook to negative.
  • SoftBank’s CFO has said there are no plans to invest in OpenAI’s rivals, signaling a continued single-company focus for its AI strategy.
  • Recent paper gains tied to OpenAI boosted results, yet returns and refinancing costs still hinge on OpenAI’s execution and any future IPO.