Business

SoftBank Group Buys ABB’s Robotics Arm for $5.4 Billion

Japan’s SoftBank Group Corp (SBG) on Wednesday announced that it has entered into an agreement with ABB Ltd, a global technology leader in electrification and automation, to acquire the latter’s robotics business for $5.375 billion.

The Acquisition has been approved by SBG’s Board of Directors and remains subject to customary regulatory approvals including in the European Union, China, and the US, and the satisfaction of other customary closing conditions. SBG expects the Acquisition to close in mid-to-late 2026.

According to SoftBank, the center of the “Information Revolution” has evolved from personal computers, the Internet, and broadband to smartphones, and has now entered a new phase led by artificial intelligence (AI).

In this context, SBG has declared its mission to realise artificial super intelligence (ASI) for the advancement of humanity. As part of this mission, SBG is actively investing and expanding its businesses in four essential areas: (i) AI chips, (ii) AI robots, (iii) AI data centers, and (iv) energy, as well as investing in companies at the forefront of generative AI.

The Acquisition is part of this strategy and is expected to significantly strengthen SBG’s AI robotics business. ABB’s robotics business is a globally recognised brand, known for its reliability and high performance, supported by extensive sales channels and customer relationships.

SBG is well-positioned to reignite the robotics business’s growth, particularly through investment in cutting-edge technologies such as AI.

Following the acquisition, the robotics platform, expertise, and existing local footprint will be complemented by the technological foundations of SBG’s existing robotics-related investments—SoftBank Robotics Group Corp., Berkshire Grey, Inc., AutoStore Holdings Ltd., Agile Robots SE, and Skild AI, Inc., among others—to accelerate innovation in AI robotics and drive progress and growth toward the realisation of ASI.

ABB will carve out its robotics business into a newly established holding company and SBG plans to acquire, through a subsidiary, all shares of this holding company from ABB. As a result, this holding company will become a subsidiary of SBG.

The purchase price is subject to customary adjustments including net working capital and net debt as at the closing date and the estimated acquisition-related costs will be announced once determined.

Physical AI Next Frontier

SoftBank Chairman Masayoshi Son said that the bank’s next frontier is Physical AI and together with ABB Robotics, they will unite world-class technology and talent under their shared vision to fuse Artificial Super Intelligence and robotics — driving a ground-breaking evolution that will propel humanity forward.

ABB CEO Morten Wierod said that SoftBank will be an excellent new home for the business and its employees.

ABB and SoftBank share the same perspective that the world is entering a new era of AI-based robotics and believe that the division and SoftBank’s robotics offering can best shape this era together, he said.

“ABB Robotics will benefit from the combination of its leading technology and deep industry expertise with SoftBank’s state-of-the-art capabilities in AI, robotics and next-generation computing. This will allow the business to strengthen and expand its position as a technology leader in its field,” Wierod added.

Global Business Magazine

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