SoftBank is about to launch SoftBank second tech funds. The Japanese tech company said at the end of last week that it expects to raise $108 billion. The company aims to use the money for the new Tech Fund 2 from the likes of Apple (AAPL), Foxconn, Microsoft (MSFT) and Kazakhstan’s investment fund.
Moreover, SoftBank said it intends to invest $38 billion of its own money into the fund.
The Softbank second tech fund will plow money into tech startups driven by artificial intelligence. Billionaire SoftBank founder has repeatedly said that he wants to have a stake in AI revolution leading companies.
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SoftBank First Tech Fund
The first Tech Fund has already started paying off for SoftBank, according to the CNN report. Operating profit for the Tech Fund and a related fund soared more than 300%. It reached 1.26 trillion yen ($11.6 billion) for the fiscal year ended in March. It is accounting for more than half of the group’s earnings.
SoftBank launched his first huge tech fund in May 2017. To clarify, nearly half that money coming from the Saudi government. That fund has made big investments in dozens of startups. For instance, WeWork and Slack. Besides, the company is the largest shareholder in Uber (UBER).
However, SoftBank began to stay away from Saudi Arabia after the disappearance and killing of prominent journalist Jamal Khashoggi. Softbank has made a statement last year. It said that SoftBank wouldn’t take any more Saudi cash until the truth about Khashoggi’s murder was known.
On the announcement of the second tech fund, SoftBank’s founder was asked about Saudi investment. Yet he said at the time that it was still too early to discuss specific details.
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SoftBank did not immediately respond to the question. But, the kingdom is absent from the list of roughly a dozen companies funded by SoftBank. Moreover, it doesn’t appear in banks and institutions listed as partners for Tech Fund 2.
