Nvidia's AI Power Fuels SoftBank's $4.8 Billion Vision Fund Profit
Tokyo, Thursday, 7 August 2025.
SoftBank’s Vision Fund rebounded with a significant $4.8 billion profit in Q1 2025. This surge marks a turnaround driven primarily by the soaring value of its AI investments. Nvidia’s stock performance played a crucial role. The Vision Fund’s investment profits jumped to 726.8 billion yen, highlighting the power of AI in shaping investment portfolios. Masayoshi Son is on an AI spending spree including leading a $40 billion funding round into Open AI and a $6.5 billion acquisition of AI chip firm Ampere Computing.
Vision fund performance
SoftBank Group reported a consolidated net profit of 421.8 billion yen for the period April to June [1]. This contrasts with a loss of 174.28 billion yen during the same period last year [2]. The Vision Funds segment saw profits reach 451.4 billion yen in the recent quarter, a significant recovery from losses experienced in the corresponding period of the previous year [2]. These figures highlight a substantial turnaround, primarily attributed to gains in technology investments, particularly those related to AI [1][2].
Nvidia’s pivotal role
Nvidia’s stock surge significantly boosted SoftBank’s Vision Fund profits [1]. SoftBank increased its Nvidia holdings to approximately $3 billion by the end of March, a substantial rise from the $1 billion held in the previous quarter [5][6]. Masayoshi Son’s strategic focus on AI infrastructure is evident in the increased investments in Nvidia and Taiwan Semiconductor Manufacturing (TSMC) [5]. These investments aim to capitalize on the growing demand for AI tools and hardware [5][6].
Strategic ai investments
Son is actively constructing an investment portfolio centered around ARM, a chip design company [5]. ARM’s intellectual property is used in most mobile chips and increasingly in server chips, positioning SoftBank to capitalize on AI semiconductor technology [5]. SoftBank aims to establish itself as the leading platform company in the AI sector [5]. The company is also involved in the $500 billion Stargate project to develop data centers and AI infrastructure in the U.S [2].
Market analyst perspective
Analysts suggest that Son’s increased stake in Nvidia aims to recoup missed gains from the AI surge triggered by ChatGPT [5][6]. SoftBank sold 4.9% of its Nvidia shares in early 2019 and those shares are now worth over $200 billion [5][6]. Ben Narasin, founder of Tenacity Venture Capital, noted Nvidia’s critical role in the AI gold rush, stating that acquiring Nvidia shares could give SoftBank greater influence and access to sought-after chips [5].