Masayoshi Son, the founder of Japanese investment giant SoftBank, has broken his silence on a surprise multi-billion dollar stock sale that sent ripples through Wall Street last month.
The Reluctant Sale: Funding the Next AI Wave
Speaking at a forum in Tokyo on Monday, Son addressed why he quietly offloaded roughly $15 billion worth of stock, including his entire stake in the AI chip powerhouse Nvidia. He insisted the move was not a judgement on Nvidia or the artificial intelligence boom it fuels, but a simple need for liquidity.
"I don't want to sell a single share. I just had more need for money to invest in OpenAI," Son stated, adding emotionally, "I was crying to sell Nvidia shares." He claimed SoftBank would have held the stake with "unlimited money," but required capital for its next wave of AI bets.
Wall Street Jitters and Bubble Fears
The sale in mid-November triggered a chill across financial markets. Investors, who had been driving major indexes to record highs, interpreted the move as a potential warning sign. It amplified existing fears that the historic AI rally might be wobbling.
By the following Tuesday midday, the Nasdaq was down 0.8%, while Nvidia itself had slipped more than 3%, though both later recovered. The constant swings have shifted the upward momentum seen from April through October.
Son, often dubbed the 'Warren Buffett of tech,' pushed back strongly on narratives of an AI bubble. He describes AI as the most important shift in human history and suggests those worried about a bubble are "not smart enough." The funds are earmarked for an expanded push into data centres, including a planned $500 billion network in the US, and a major commitment to OpenAI.
Sceptical Voices and Market Realities
Despite Son's confidence, scepticism persists. A report from the Massachusetts Institute of Technology in August found that 95% of companies investing in generative AI are seeing "zero return."
Among the high-profile doubters is trader Michael Burry, famous for predicting the 2008 crash. In mid-November, he unveiled a significant bet that AI giants like Nvidia and Palantir would fall, further unsettling the market.
Nvidia remains a Wall Street darling, producing around 90% of the chips needed to run advanced AI and boasting a market value exceeding $4.3 trillion. SoftBank has not commented further on the sale.
