SoftBank sold its entire stake in Nvidia for $5.83 billion. Learn about its future plans.

Japanese tech company SoftBank Group has sold its entire stake in American chipmaker Nvidia Corp. SoftBank sold all of its shares in Nvidia for $5.83 billion. SoftBank announced this on Tuesday. The Japanese company stated that it will invest the money elsewhere. The company also reported that its profit in the first half of the current fiscal year nearly tripled compared to the previous year.

$13 billion profit in the first half

SoftBank reported that its profit reached nearly $13 billion in the April-September period. The company reported that its sales in the six-month period increased 7.7% year-on-year to 3.7 trillion yen ($24 billion). SoftBank Group Corp. stated that it sold all of its Nvidia shares in October. According to an AP report, the company’s move reflects its shift in focus towards OpenAI, the developer of the artificial intelligence chatbot ChatGPT.

SoftBank to Invest $500 Billion in Stargate

In February of this year, SoftBank Chairman Masayoshi Son, along with US President Donald Trump, OpenAI’s Sam Altman, and Oracle’s Larry Ellison, announced a major investment of up to $500 billion in a project by an AI developer called Stargate. SoftBank has invested billions of dollars in OpenAI. Both companies also plan to provide AI services in Japan. The sale of Nvidia’s stake reflects a shift in strategy by Masayoshi Son and will also provide significant profits to his company due to the recent surge in Nvidia’s market value.

World’s First Company with a Market Cap of $5 Trillion

Nvidia recently became the world’s first company with a market cap of $5 trillion, just three months after reaching a market cap of $4 trillion. Nvidia plans to invest $100 billion in OpenAI, part of a partnership that will see Nvidia AI data centers with at least 10 gigawatts of capacity to boost OpenAI’s computing power.