SoftBank hits the brakes on talks to buy data center firm Switch

Masayoshi Son, chairman and chief executive officer of SoftBank Group, speaks during the Future Investment Initiative (FII) Institute Priority Asia conference in Tokyo in December. SoftBank Group has halted talks about an acquisition of U.S. data center operator Switch, a setback to founder Masayoshi Son's ambition to roll out Stargate artificial intelligence infrastructure, according to people familiar with the matter. For months, Son pursued a deal of around $50 billion for Switch, convinced that direct control of the latter's network of energy-efficient data centers would help the $500 billion Stargate push to generate computing power for partner OpenAI. But earlier this month, Son conceded that a full acquisition was off the table and scrapped a planned January announcement, the people said, asking not to be named because the matter is private. The two sides remain in active discussions about a partial investment or a partnership, they said. In a time of both misinformation and too much information, quality journalism is more crucial than ever.