Madrid. The alliance between tech giants continues to set the pace of the digital economy. On August 18, 2025, SoftBank Group and Intel Corporation announced the signing of a definitive investment agreement, under which the Japanese company will allocate $2 billion to purchase common shares of Intel. The deal, which is expected to close after meeting usual regulatory conditions, strengthens Intel’s position as a key player in the global race for semiconductor innovation and artificial intelligence.
This move is not insignificant. The chip sector has become the true heart of the digital economy: from cloud services and data centers to electric vehicles, smartphones, and generative AI applications. In this context, SoftBank’s backing of Intel is seen as a strategic move that goes beyond finance—a statement of confidence in the United States’ ability to solidify itself as the epicenter of the next wave of technological advancement.
Leadership messages
Masayoshi Son, founder and CEO of SoftBank, clearly expressed: “Semiconductors are the foundation of all industries. For over 50 years, Intel has been a trusted leader in innovation. This strategic investment reflects our conviction that advanced chip manufacturing in the U.S. will continue to expand, with Intel playing a vital role.”
Meanwhile, Lip-Bu Tan, CEO of Intel—and a key figure in the tech venture capital ecosystem—highlighted the strategic importance of the deal: “We are very pleased to deepen our relationship with SoftBank, a company at the forefront of many emerging technologies and innovations, which shares our commitment to strengthening America’s technological and manufacturing leadership. Masa and I have worked together for decades, and I thank them for their trust in Intel with this investment.”
A $23 per share commitment
The agreement stipulates that SoftBank will pay $23 for each share of Intel common stock. While this price should be considered within the broader financial strategy of the Japanese conglomerate, it arrives at a delicate time for Intel. The company has seen NVIDIA and AMD gaining ground in AI and graphics markets, while TSMC in Taiwan leads in advanced 3nm and 2nm node production.
With this capital injection, Intel aims to bolster its semiconductor roadmap and regain industry ground, where the future of high-performance computing and technological sovereignty for entire countries and regions is at stake.
SoftBank and AI vision
This move aligns with SoftBank’s vision for artificial intelligence. After decades of strategic investments—including ARM, acquired in 2016 and later floated in 2023—the Japanese conglomerate remains committed to expanding infrastructure to support the AI revolution.
For SoftBank, this investment isn’t just about market returns; it’s also about accelerating access to advanced technologies that underpin digital transformation, cloud computing, and next-generation infrastructure.
Geopolitical and technological context
The SoftBank–Intel deal cannot be understood outside the broader global competition for semiconductor supply chain control. The U.S., Europe, Japan, South Korea, and Taiwan are vying to attract investments and enhance their autonomy in this critical sector.
The U.S. government has launched billions in incentives through the CHIPS and Science Act, while the European Union promotes the European Chips Act. Simultaneously, China is ramping up its domestic production to reduce reliance on foreign manufacturers.
In this landscape, Intel stands out as one of the few entities capable of manufacturing and designing cutting-edge chips on U.S. soil. SoftBank’s entry fortifies that position and sends a clear political and economic message: cooperation among giants is essential to sustain the pace of innovation.
Market and data center impact
SoftBank’s investment comes at a time when the AI market is dramatically increasing demand for chips. The GPU shortages from NVIDIA have underscored the need to diversify suppliers and strengthen global manufacturing capacity.
With its new production lines in Ohio and Arizona, Intel seeks to become a cornerstone of data infrastructure powering AI in the coming decade. From foundational models and cloud services to robotics and edge computing, the race for semiconductors will determine who leads the digital economy.
A tech bubble?
Skeptics warn of the risk that this surge in semiconductor and data center investments could lead to a tech bubble. Masayoshi Son, known for his risky bets via the Vision Fund—which previously faced notable setbacks, such as with WeWork—has been part of such high-stakes gambles.
However, most analysts agree that, unlike the dot-com bubble of the early 2000s, the demand for chips and computational capacity has real backing: accelerated digitalization, generative AI, industrial automation, and expanding connected services.
Near-term outlook
The transaction between SoftBank and Intel remains pending completion, subject to standard closing conditions, including regulatory approvals like the Hart-Scott-Rodino Anti-Monopoly Act in the U.S. Once finalized, it will reinforce the bond between two historic players in the tech ecosystem.
Meanwhile, the overarching question persists: will these multi-billion-dollar investments be enough to sustain the digital revolution, or is the industry on the brink of a new correction?
FAQs
Why did SoftBank invest in Intel?
SoftBank aims to strengthen its stake in semiconductors and AI, trusting Intel to play a key role in expanding advanced manufacturing in the U.S.
What does this mean for Intel?
A $2 billion capital injection that boosts its ability to compete with rivals like NVIDIA, AMD, and TSMC, while accelerating its AI and advanced manufacturing strategies.
Could this influence the geopolitics of semiconductors?
Yes. The partnership solidifies the U.S.-Japan axis amid heightened geopolitical tensions over chip supply chain control.
Is there a risk of a tech bubble in AI and semiconductors?
Some analysts warn about the scale of investments; however, robust demand for AI chips, cloud computing, and automation provides substantial support, distinguishing current trends from the late 1990s dot-com bubble.
Source: newsroom.intel.com