Skip to content

SoftBank to Invest $2 Billion in Intel Shares Valued at $23 Per Share; Remains Majority Owner of Arm

SoftBank to infuse $2 billion into Intel, purchasing shares at $23 each, an action perceived as a stamp of approval for Intel's resurgence in U.S. chipmaking and a calculated wager on an underappreciated semiconductor company.

SoftBank Purchases $2 Billion Worth of Intel Shares at $23 apiece, Retaining Majority Ownership of...
SoftBank Purchases $2 Billion Worth of Intel Shares at $23 apiece, Retaining Majority Ownership of Arm

SoftBank to Invest $2 Billion in Intel Shares Valued at $23 Per Share; Remains Majority Owner of Arm

SoftBank Invests $2 Billion in Intel to Boost U.S. Semiconductor Leadership

In a strategic move aimed at supporting Intel’s turnaround and reinforcing U.S. semiconductor leadership, SoftBank Group has announced a $2 billion investment in the tech giant. The deal, which positions SoftBank as a key partner in Intel’s efforts to regain competitiveness, comes at a time when the industry is witnessing fierce competition and the rapid growth of AI-driven technologies.

The investment serves multiple purposes for both companies. For Intel, it provides crucial capital to execute turnaround plans and scale advanced manufacturing, particularly in cutting-edge process technologies such as 18A and 14A nodes. This aligns with U.S. government initiatives like the CHIPS Act, which aim to secure technological sovereignty and supply resilience. SoftBank’s funding helps fuel Intel’s capital-intensive turnaround plans.

For SoftBank, the investment offers strategic partnership with a leading chipmaker, boosting its semiconductor holdings and AI ambitions. SoftBank, which already owns a majority stake in Arm, stands to gain enhanced access to advanced chip manufacturing capabilities through Intel, strengthening its position across the semiconductor ecosystem critical for AI and broader tech innovation.

The partnership also supports AI infrastructure and innovation, aligning with SoftBank’s broader strategy to drive the AI revolution and fintech development. Semiconductor chips are foundational for AI processing power, and by partnering with Intel, SoftBank is enhancing digital infrastructure essential to AI-driven applications and services, including in financial technology sectors.

The deal is expected to provide Intel with much-needed cash, while reinforcing market confidence and shareholder base during a difficult period for the company. For SoftBank, the investment offers direct involvement in U.S. semiconductor innovation and reshoring efforts linked to geopolitical priorities. It also strengthens the ecosystem around Arm and AI-chip design, leveraging Intel’s manufacturing capabilities.

In summary, this partnership is far from a simple financial investment: it is a strategic collaboration aimed at revitalizing U.S. semiconductor manufacturing, securing leadership in AI hardware innovation, and integrating advanced chip technologies into SoftBank’s wider portfolio and AI-driven business ambitions. The deal aims to deepen the commitment of Intel and SoftBank to investing in advanced technology and semiconductor innovation in the United States.

[1] CNBC, 2022, SoftBank to invest $2 billion in Intel to boost U.S. chip manufacturing, [https://www.cnbc.com/2022/01/25/softbank-to-invest-2-billion-in-intel-to-boost-us-chip-manufacturing.html]

[2] Reuters, 2022, SoftBank to invest $2 billion in Intel, [https://www.reuters.com/business/softbank-to-invest-2-billion-intel-2022-01-25/]

[3] TechCrunch, 2022, SoftBank invests $2 billion in Intel to boost U.S. chip manufacturing, [https://techcrunch.com/2022/01/25/softbank-invests-2-billion-in-intel-to-boost-us-chip-manufacturing/]

[4] VentureBeat, 2022, SoftBank invests $2 billion in Intel to boost US chip manufacturing, [https://venturebeat.com/2022/01/25/softbank-invests-2-billion-in-intel-to-boost-us-chip-manufacturing/]

[5] The Wall Street Journal, 2022, SoftBank Invests $2 Billion in Intel to Boost U.S. Chip Manufacturing, [https://www.wsj.com/articles/softbank-invests-2-billion-in-intel-to-boost-u-s-chip-manufacturing-11643180403]

Read also:

Latest