Bloomberg reported that the investment firm plans to invest a total of $100 billion, with $30 billion originating from the firm itself and the remaining $70 billion from institutions in the Middle East.
Japanese investment firm, SoftBank Group which backed famous Indian start-ups such as Paytm, Zomato, PB Fintech, and Delhivery among others, is considering establishing a $100 billion chip venture to supply AI-enabling semiconductors.
After the news, shares of SoftBank witnessed a surge of around 3.2 per cent. Masayoshi Son's AI project will compete with NVidia Corp. SoftBank's project, dubbed Izanagi, which is set to establish an AI chip venture that would complement Arm Holdings Plc, the chip design company majority-owned by SoftBank.
International news platform, Bloomberg reported via its people who are aware of the development that the investment firm is expected to put $30 billion and $70 billion coming from institutions in the Middle East.
Following a string of setbacks in his startup investments, the Japanese entrepreneur has witnessed Arm's remarkable growth into a solid success. SoftBank shares have surged approximately 30 per cent in the past 10 trading days, propelled by Arm's shares skyrocketing by over 80 per cent.
As of December 31, SoftBank boasted ¥6.2 trillion ($41 billion) in cash and cash equivalents, buoyed by a resurgence in global equity markets. The company's balance sheet received a significant boost from a windfall in T-Mobile US Inc. shares, valued at nearly $8 billion, as well as from its 90 per cent stake in Arm.
The company aims to expand its operations nationwide by leveraging advanced technology, process control, and data analytics-driven innovations to enhance reinsurance capacity.
Rajeev Chandrasekhar said that the RBI order has drawn the attention of fintech players to the fact that the regulatory compliance is not an optional thing.
The proposals are in addition to a Rs 22,516-crore chip assembly plant being set up by US-based memory chip maker Micron in Gujarat.
