$5.4 Billion: Masayoshi Son Snags a Robotics IPO
Masayoshi Son is as bold as ever!
SoftBank Group Corp. announced it will acquire ABB Ltd.’s robotics business at an enterprise value of $5.375 billion, with the deal expected to close between mid- and late-2026.
Upon completion, ABB’s robotics unit will become a wholly-owned SoftBank subsidiary. This means one of the “Big Four” in global industrial robotics will change hands, marking another win for a Japanese conglomerate in the “Physical AI” race.
The final agreement has been signed, but the deal awaits standard antitrust reviews in jurisdictions like the EU, U.S., and China, along with customary closing conditions.
Abandoning IPO for a Sale
In mid-April this year, ABB announced plans to spin off its robotics business and list it in Q2 2026.
But by September, SoftBank entered exclusive talks, offering a price ~15% above the upper end of the potential IPO valuation range. Both boards approved and signed a Sale and Purchase Agreement (SPA), pushing the deal into regulatory review.
The transaction will be an all-cash acquisition, with ABB expecting to net ~$4.7 billion after taxes and separation costs, booking a pre-tax accounting gain of ~$2.4 billion.
Clearly, global “for-sale” assets are toggling between IPOs and outright sales. As long as the price is right, the arduous IPO route isn’t as attractive as a quick sale. And with Son’s global reputation for bold moves, who’d turn down a mega-buyer like him?
For SoftBank, the funding comes from the parent company, not its Vision Fund, signaling a long-term holding strategy rather than a financial exit.
During the deal, ABB will transfer its robotics division into a new holding company, which SoftBank will fully acquire. Post-closing, ~7,000 employees, global manufacturing networks, and all intellectual property will transfer to SoftBank.
To prevent “customer loss” or “technology leakage,” the agreement includes a three-year non-compete clause and a minimum supply chain purchase commitment, ensuring ABB continues buying products from its former robotics unit for its factories.
Son’s Big Dream: Embedding AI in the Physical World
At a prior internal meeting, Masayoshi Son laid out his formula: “Physical AI = AI × Robotics × Energy.” He believes super AI must integrate with energy systems and robotic actuators to create physical value.
On the surface, this acquisition brings ABB’s 7,000-engineer team, 500,000 installed units, and global service network. But it’s really about providing real-time data and application scenarios for SoftBank’s AI algorithms, which can cross-leverage with its chip designer Arm’s edge computing and Berkshire Grey’s logistics solutions.
SoftBank plans to invest over $3 billion in R&D from 2026–2029, aiming to launch “AI-First” robotics product lines in factory automation, medical surgery, and renewable energy maintenance.
Beyond this deal, Son’s been active in robotics since 2012, when SoftBank Robotics launched Pepper (companion robot) and Whiz (indoor cleaning robot).
In 2021, SoftBank acquired logistics robotics firm Berkshire Grey for $2.8 billion.
From 2022–2024, it invested ~$1.5 billion in AutoStore (warehousing), Agile Robots (collaborative arms), and Skild AI (general robotics AI models).
Including the ABB deal, SoftBank has poured over $10 billion into the “Physical AI” space, building a full-stack ecosystem from industrial arms and mobile robots to general AI brains.
If all goes according to Son’s vision, by 2030, SoftBank could create a “Physical AI” ecosystem generating over $50 billion in annual revenue.
Since 2025, SoftBank’s stock has doubled from 10,000 yen to over 20,000 yen, with its market cap crossing $100 billion.
Goldman Sachs raised its SoftBank price target to 22,000 yen in a recent report, noting that a successful robotics business spin-off by 2027 could add 300–400 billion yen to its sum-of-the-parts (SOTP) valuation.