How SoftBank Group Corp. Doubled Its Profits: The AI Bet That Paid Off

In a remarkable turn of events, SoftBank Group Corp. has reported that its net profit for the quarter ended September 30, 2025 soared to ¥2.5 trillion (approx. US $16.6 billion) — more than double the ¥1.18 trillion it recorded during the same period a year earlier. 
This outsized gain was driven overwhelmingly by valuation gains on its investment in OpenAI via its Vision Fund, rather than traditional operational earnings. 

How SoftBank Group Corp. Doubled Its Profitshe AI Bet That Paid Off

Key Highlights

• SoftBank’s Vision Fund unit recorded investment gains of about ¥3.5 trillion, of which ¥2.16 trillion was tied to its stake in OpenAI. 
• Analysts had expected a profit of roughly ¥207 billion, making the result a huge surprise. 
• In parallel, SoftBank sold part of its stake in Nvidia Corporation, disposing of shares worth about US $5.8 billion, signalling a reallocation of capital toward its AI-investment strategy. (The Guardian)

What This Means for SoftBank

This performance underscores a major shift in how SoftBank earns money:

• Historically, the company earned from telecom, internet services, and some hardware. But now, valuation gains from strategic investments are playing the lead role.
• The fact that profit more than doubled despite a moderate operating business means the company is increasingly a holding/investment company rather than just an operational telecom/tech firm.
• The sale of Nvidia assets to fund more aggressive investment in AI shows SoftBank is doubling down on its belief that Artificial Intelligence (AI) is the next major frontier. (OpenAI)

Strategic Implications & Risks

Implications

• SoftBank is positioning itself as a major backer of generative AI, placing big bets on OpenAI and others. This could deliver outsized gains if AI continues its growth trajectory.
• Investors may view SoftBank as a proxy for the AI-investment wave — meaning its stock may rise or fall in line with the fortunes of AI-startup valuations rather than traditional telecom metrics.

How SoftBank Group Corp. Doubled Its Profitshe AI Bet That Paid Off

Risks

• Relying heavily on investment gains introduces volatility: if valuations fall, SoftBank’s profits will shrink fast.
• Some analysts warn of a possible AI-bubble, given the rapid pace and large size of investments in the sector. 
• While this quarter’s results are strong, they rely on paper gains rather than earned revenue — meaning realisation risk remains (i.e., the gains may not turn into cash or repeat).

Conclusion

SoftBank’s latest performance clearly demonstrates how the tech-investment landscape is shifting: companies no longer merely operate services; they invest, re-invest, and realise gains through strategic bets. SoftBank’s aggressive allocation into AI, highlighted by its stake in OpenAI and divestment of other assets like Nvidia, sets it apart as one of the major players in this next wave of technological transformation. However, with great upside comes increased risk — especially in a sector as dynamic (and untested) as generative AI.