On Wednesday, SoftBank Group announced a deal to acquire US semiconductor firm Ampere for $6.5 billion. The acquisition comes as demand for chips has surged due to the AI boom. However, the deal is still pending regulatory approval, according to SoftBank’s statement.

Ampere’s Focus on Energy-Efficient AI Technology

Ampere Computing specializes in designing high-performance, energy-efficient chips for AI technology. These chips are based on the ARM compute platform. This aligns with the growing need for sustainable and powerful technology in AI applications.

SoftBank’s Existing Investment in ARM Holdings

SoftBank Group already owns a majority stake in Arm Holdings. ARM technology powers 99 percent of smartphones globally. This acquisition would further solidify SoftBank’s dominant role in the semiconductor market and enhance its AI capabilities.

Expected Deal Timeline and Impact

The deal is expected to close in the second half of 2025. SoftBank’s acquisition of Ampere would reinforce its aggressive strategy in AI, positioning the company to take advantage of future growth in this sector.

Partnership with OpenAI and AI Infrastructure Initiatives

Earlier this year, SoftBank and OpenAI formed a joint venture to provide advanced AI solutions to businesses. Additionally, SoftBank and OpenAI have worked on the Stargate drive, a project initiated by former US President Donald Trump. This initiative will invest up to $500 billion in AI infrastructure in the United States, marking a significant step in SoftBank’s expanding AI ambitions.