SoftBank's credit default swaps hit their highest level since 2023 amid concerns over artificial intelligence safety, rising costs and intensifying competition. SoftBank Group's equity investors are increasingly focused on the potential returns from its artificial intelligence bets, helping the stock rebound even as the Japanese company faces higher borrowing costs. SoftBank shares posted their first monthly gain in four months in September, after OpenAI's new GPT-6 Astra model rekindled optimism around Masayoshi Son's $65 billion commitment to the ChatGPT creator. The stock rose 24% in four weeks, helped by OpenAI's latest plan to raise $30 billion at a valuation of $1.4 trillion. A recovery in chip unit Arm Holdings shares also bolstered confidence about the tech investor's ability to finance growing debt.

SoftBank Group has raised roughly $11 billion in debt, spread across dollars and euros, making the Japanese conglomerate the biggest corporate junk-bond borrower in the world. Billionaire Masayoshi Son's SoftBank Group has pushed through one of the largest junk-bond offerings on record, dangling yields above anything it's paid before in an effort to fund its massive artificial intelligence ambitions. The company raised roughly $11 billion in debt, spread across dollars and euros, making the Japanese conglomerate the biggest corporate junk-bond borrower in the world, data shows. While it drew enough demand to lower pricing, borrowing costs were still largely higher than it has had to pay before, according to the data. The firm sold $1 billion of 3.5-year bonds at a yield of 8.625% and $4.5 billion of 5.5-year securities at a yield of 9.25%, according to a person familiar with the matter. The longer-dated $4.5 billion 7.5-year tranche priced to yield 9.75%, the person added, asking not to be identified because they're not allowed to speak publicly.

SoftBank CEO Masayoshi Son (left) and OpenAI CEO Sam Altman attend an event in Tokyo in February 2025. Apollo Global Management is in talks with SoftBank Group about boosting the size of a loan to $9 billion from $5.4 billion to help the Japanese firm finance its investment in AI giant OpenAI. The size of the financing, which is backed by assets in SoftBank's Vision Fund 2, hasn't been finalized, the people said, requesting not to be identified because the discussions are private. Representatives for Apollo and SoftBank declined to comment. Apollo made the so-called net-asset-value (NAV) loan to SoftBank's venture capital fund in 2021 and boosted it by $900 million last year to $5.4 billion.

SoftBank gets upsized $11.9 billion loan in OpenAI funding push SoftBank Group secured an $11.87 billion two-year loan from about 20 banks to support its investment in U.S. artificial intelligence firm OpenAI, exceeding its earlier $10 billion target. SoftBank Group secured an $11.87 billion loan to support its investment in U.S. artificial intelligence firm OpenAI, people familiar with the matter said, up from its earlier target of $10 billion. The Japanese conglomerate sealed the two-year facility last week, attracting commitments from around 20 banks, said the people, asking not to be identified because they're not authorized to speak publicly. The financing comes as some executives are now voicing the need to slow the pace of AI development due to escalating risks from the technology. OpenAI Chief Executive Officer Sam Altman said in an interview with Fortune that his company wouldn't proceed with a public offering this year as it addresses safety-related concerns.

SoftBank plans record $6.3 billion retail bond sale in Japan SoftBank Group has been accelerating investments in data centers as it seeks to expand computing capacity amid growing demand from OpenAI and other hyperscalers for AI tools and services. SoftBank Group plans a record ¥1 trillion ($6.3 billion) retail bond sale in Japan as the conglomerate raises funds for its investment commitments to OpenAI. The 7-year bonds are expected to be priced on Sept. 4, with an indicative coupon range of 4.3% to 4.9%, according to a company filing. The sale comes as the company has committed more than $60 billion to investments in the ChatGPT developer and has been raising funds to support those commitments. SoftBank has been accelerating investments in data centers as it seeks to expand computing capacity amid growing demand from OpenAI and other hyperscalers for AI tools and services.

SoftBank Group's $200 million investment in Swiss startup Gravis Robotics marks another major robotics bet as founder Masayoshi Son seeks to make the company a pivotal player in the global AI race. SoftBank Group has invested $200 million in Gravis Robotics, a Swiss startup that makes autonomous software for construction machinery. Zurich-based Gravis announced the Series A investment in a statement on Monday but didn't share a valuation. It was reported in July that SoftBank was considering an acquisition of Gravis that might be completed in several stages, which includes injecting fresh capital over time. The deal marks another splashy investment into robotics from SoftBank, whose founder, Masayoshi Son, is trying to make his firm a pivotal player in the global artificial intelligence race. The Japanese investor, which by October is set to own a 13% stake in OpenAI, has backed a range of robotics businesses, including with the acquisition of ABB's industrial unit last year.

For the three months to June, SoftBank booked gains from its bets on Intel, whose shares more than tripled during the quarter. SoftBank Group has reported a smaller-than-expected decline in quarterly net income, helped by a rally in its chip-stock holdings while it awaits further gains from its bets on OpenAI. The Tokyo-based technology investor's net income fell 18% to ¥347.3 billion ($2.2 billion) in its fiscal first quarter after unrealized gains on its bets on chipmakers countered startup valuation declines. That compares with a market estimate of about ¥166 billion, based on the average of four analysts polled. OpenAI's Japanese backer is in the spotlight alongside concerns about the climbing debt levels artificial intelligence service providers are taking on so they can spend hundreds of billions of dollars on data centers and other infrastructure.

Masayoshi Son dismisses Musk's idea for orbital data centers SoftBank founder Masayoshi Son dismissed the idea of space-based data centers, arguing that the AI race will be won by computing power on Earth. SoftBank Group founder Masayoshi Son said there's little merit to building data centers in space, as championed by Elon Musk, predicting that the artificial intelligence race will be clinched by computing power on Earth. The main advantage of building data centers in space would be to slash electricity costs. But such expenses comprise a small fraction of the cost of operating data centers, compared with hardware like chips, Son said during an annual shareholder meeting for SoftBank's mobile unit on Tuesday. The tradeoff for any power cost reductions would also include higher fees to transport everything into space, maintenance and communication delays, he added.

The firm is targeting consumer-oriented AI companies with strong proprietary data, growing operations and technology teams capable of competing globally.

SoftBank will partner with South Korea's Cosmos Lab and DeltaX to enable mass production of large-scale battery cells from the fiscal year starting next April. SoftBank Group's mobile unit said it plans to begin large-scale battery cell manufacturing at its plant in Sakai, Osaka Prefecture, to address growing power demand for AI services. SoftBank Corp. will partner with South Korea's Cosmos Lab and DeltaX to enable mass production from the fiscal year starting next April, the company said in a statement Monday. The aim is to output energy storage systems at a scale of one gigawatt-hour per year, SoftBank said, which would make it one of the largest facilities in Japan, according to data from BloombergNEF. SoftBank could scale up to a capacity of several GWh, Bloomberg reported last month.