Key facts
- SoftBank Group shares plunged as much as 13% on Monday.
- OpenAI CEO Sam Altman said the company will not pursue an initial public offering in 2026.
- SoftBank has committed more than $60 billion to OpenAI.
- Concerns over AI safety and potential misuse have led to calls for slowing development.
- SoftBank's stock remains up nearly 26% in 2026 despite the selloff.
Shares in SoftBank Group fell sharply on Monday after its major investment, OpenAI, announced it would delay its initial public offering beyond 2026. OpenAI CEO Sam Altman stated that the company does not plan to pursue a listing in 2026, a move that raised concerns for SoftBank, which has committed over $60 billion to the artificial intelligence company.
SoftBank's investment in OpenAI, financed in part by substantial borrowing, was expected to provide an opportunity for significant returns upon a public listing. The delay pushes these potential returns further into the future. The company's stock dropped more than 11% to 5,795 yen, making it a weak performer on Japan's Nikkei 225 index, which also fell about 2%.
Investor sentiment was further dampened by broader concerns about the rapid expansion of artificial intelligence. Anthropic CEO Dario Amodei recently called for a slowdown in AI development due to potential risks, a sentiment echoed by several prominent technology executives, including Altman, SpaceX CEO Elon Musk, and Google DeepMind CEO Demis Hassabis. A slowdown in AI investment could pose challenges for SoftBank, given its significant exposure to the technology sector and its long-term growth strategy centered on AI.
SoftBank also faces potential exposure through its stake in chip designer Arm, which has benefited from AI-driven demand. A cooling in AI spending could impact chip demand and technology valuations, affecting both Arm and SoftBank's broader portfolio. Despite Monday's sharp selloff, SoftBank shares remain up nearly 26% in 2026, reflecting earlier gains from its AI investment strategy.