Tokyo [Japan], June 1, (ANI): The SoftBank Group has surpassed Toyota to become the most valuable company in Japan after the AI boom swept through the markets, lifting them to record highs.
Shares of the Masayoshi Son-led investment giant have climbed as much as 80 per cent this year, driven by the massive AI ambition of the group and the potential listing of its two portfolio companies, Chat GPT and SB Energy. SoftBank has crossed the market capitalisation of Y=46 trillion ($288 billion).
On the other hand, Toyota has fallen 10 per cent this year, taking the auto giant’s valuation to less than Y=46 trillion (around $288 billion).
The feat achieved by the Japanese investing behemoth is emblematic of the frenzy around AI as stocks continue to draw confidence from the evolving technology, even as markets are confronting the headwinds from the Iran war.
The AI optimism has brought cheer to investors as some of the chip stocks like Samsung, Micron and SK Hynix hit a trillion-dollar valuation.
SoftBank rose as much as 10 per cent on Monday on the back of plans to invest 45 billion euros ($53 billion) over five years to build AI infrastructure in France. This is part of its overall plan to invest a massive 75-billion-euro ($87 billion) program for ramping up AI data centre capacity in France.
This will be the Japanese tech giant’s biggest AI investment in Europe, even as the region lags behind the US and China in the AI race.
“AI is entering a new era, and the countries that build the infrastructure for this transformation will shape the future of technology, industry and society,” CNBC quoted Softbank CEO Masayoshi Son as saying.
“SoftBank is proud to make this major commitment to France. With its industrial capabilities, talent base and national ambition, France is uniquely positioned to become a leading AI infrastructure hub in Europe,” he added. (ANI)
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