SoftBank Vision Fund Plans 20% Job Cuts Amid Strategic Shift to AI

SoftBank Vision Fund Plans 20% Job Cuts Amid Strategic Shift to AI

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SoftBank’s Vision Fund plans a significant workforce reduction of over 50 jobs, aligning with its strategic pivot to AI investments like a $40 billion OpenAI deal and a $6.5 billion Ampere acquisition. The fund seeks to reallocate resources towards AI as part of a broader transformative initiative under the Stargate project, which aims for extensive data center development despite facing some delays. Auto-published by Growwh – a smarter way to scale content and marketing. Want to know more? Chat with us. SoftBank’s Vision Fund, one of the world’s largest technology-focused investment funds, is reportedly planning to reduce its workforce by 20%, equivalent to more than 50 job cuts from its total staff of approximately 282 employees as of March-end. This significant downsizing move coincides with the fund’s strategic pivot towards large-scale investments in artificial intelligence (AI) innovations. Vision Fund’s Workforce Reduction: Background and Details According to a Reuters report citing an insider familiar with the matter, SoftBank’s Vision Fund aims to slash over 50 roles to focus on its evolving investment priorities. The fund has been instrumental in backing several prominent Indian startups, including electric vehicle maker Ola Electric and food delivery giant Swiggy, further establishing its footprint in the burgeoning Indian tech ecosystem. Shift in Strategy: Big Bets on Artificial Intelligence SoftBank’s Vision Fund is accelerating its emphasis on AI, channeling massive capital into cutting-edge technologies. A standout move includes a planned $40 billion investment in OpenAI, the creator of ChatGPT, which is transforming how AI interacts with users globally. In addition, the fund is pursuing a $6.5-billion acquisition of Ampere Computing, a prominent chip designer specializing in products essential for powering AI workloads and data centers. These strategic investments form part of SoftBank’s broader ambition under its Stargate project — a transformative initiative aiming to build data centers worth $500 billion over four years. However, the project has encountered delays due to ongoing negotiations concerning site approvals and collaboration agreements. Despite these hurdles, SoftBank’s CFO Yoshimitsu Goto confirmed that major banks from Japan and the US remain optimistic about financing the project. Financial Maneuvers to Support AI Investments To fund these ambitious AI ventures, SoftBank has been actively divesting assets and streamlining its operations. Notably, the conglomerate raised $7.8 billion in mid-2025 by offloading part of its stake in T-Mobile in two tranches—one in June and another in August. These financial measures have helped SoftBank Group report a modest net profit of $2.87 billion in its latest quarterly results (April-June), reflecting cautious yet strategic financial management amid shifting market dynamics. Implications for the Tech Investment Landscape The planned workforce layoffs at Vision Fund underscore the evolving priorities within the global technology investment scene, where AI innovation is rapidly becoming the focal point. By reallocating resources and personnel toward AI-centric initiatives, SoftBank is positioning itself to capitalize on the next wave of technological disruption. At the same time, SoftBank’s continued support of Indian startups demonstrates a dual strategy of nurturing emerging markets while investing heavily in frontier technologies back home. This balance could help sustain long-term growth and diversification in its investment portfolio. Summary SoftBank’s Vision Fund is set to cut around 20% of its workforce as it pivots aggressively toward AI investments, including a $40 billion stake in OpenAI and a $6.5 billion deal to acquire Ampere Computing. This strategy is supported by asset sell-offs and ambitious plans to build $500 billion worth of data centers under the Stargate project. Despite some project delays, strong backing from major banks and a recent quarterly profit position SoftBank favorably for its AI-driven future. Source This article was auto-generated as part of a smart content campaign. Curious how we do it? Chat with us to learn more about our content automation systems.

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