AITech

SoftBank to Spend $3 Billion a Year on OpenAI Tech – The Full Story

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ChatGPT - OpenAI

SoftBank has announced a $3 billion per year commitment to OpenAI, securing access to its latest AI models and technologies.

The two companies are also launching a joint venture called SB OpenAI Japan, which will bring OpenAI’s enterprise AI tools to major businesses in Japan.

What SoftBank Gets from OpenAI

SoftBank and its subsidiaries will gain access to:

  • ChatGPT Enterprise for advanced AI-powered chat solutions.
  • OpenAI’s API to integrate AI into SoftBank’s services.
  • Custom AI models for SoftBank’s specific needs.
  • Agent products like Operator, which can search the web, fill out forms, and plan tasks.
  • Deep Research, a soon-to-be-released tool for multi-step web analysis.

SoftBank is branding all these OpenAI-powered tools as “Cristal Intelligence.”

SoftBank’s Big Vision: AGI in 10 Years?

During the announcement, SoftBank CEO Masayoshi Son said he believes Artificial General Intelligence (AGI)—AI that can match or surpass human intelligence—will be a reality within 10 years.

He noted that achieving AGI will require massive financial investment, which only large enterprises can afford right now.

SoftBank’s Growing Role in OpenAI’s Future

SoftBank is negotiating a $40 billion funding round for OpenAI, with plans to invest between $15 billion and $25 billion. If the deal goes through, SoftBank would become OpenAI’s biggest investor, surpassing Microsoft.

Some of this funding may also support Stargate, a new AI infrastructure project backed by OpenAI, SoftBank, and Oracle. Stargate was announced by former President Donald Trump and aims to boost AI development in the U.S.

Competition Heats Up: OpenAI vs. DeepSeek

While OpenAI is expanding with SoftBank’s help, it faces new competition from China’s DeepSeek AI. DeepSeek’s models have gained popularity in the U.S., with its app topping Apple’s App Store rankings.

Reports suggest DeepSeek trained its powerful AI models at a much lower cost than OpenAI, shaking up the industry.

OpenAI CEO Sam Altman acknowledged DeepSeek’s rapid rise, calling it “clearly a great model” and a reminder of the intense competition in AI.

Final Thoughts

SoftBank’s partnership with OpenAI marks a major step in AI adoption for businesses. With billions invested and AGI on the horizon, this deal could shape the future of AI. Meanwhile, OpenAI must keep an eye on rising competition from DeepSeek and other AI challengers.

What do you think? Will SoftBank’s AI bet pay off? Let us know!

Written by
Sazid Kabir

I've loved music and writing all my life. That's why I started this blog. In my spare time, I make music and run this blog for fellow music fans.

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