SoftBank Nears Major Acquisition of DigitalBridge to Fuel AI Ambitions

SoftBank Group Corp. is reportedly in advanced discussions to acquire DigitalBridge Group Inc., a global leader in digital infrastructure investment. The deal, which could be announced as early as today, marks a massive strategic shift for Masayoshi Son as he pivots his empire toward the physical hardware and facilities required to dominate the artificial intelligence sector.

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At a Glance: The Deal

• The Target: DigitalBridge (DBRG), a Florida-based firm managing approximately $108 billion in assets across data centers, fiber networks, and cell towers.
• Stock Reaction: DigitalBridge shares saw a massive spike following the news, surging more than 40% in early trading.
• Strategic Fit: The acquisition would provide SoftBank with the “bricks and mortar” needed to support its massive $500 billion Project Stargate initiative.

Why SoftBank is Buying In

This move signals that SoftBank is moving away from being purely a venture capital firm (known for the Vision Fund) and becoming a direct operator of critical AI infrastructure.

1. Data Center Dominance: DigitalBridge owns or has stakes in massive data center operators like Switch and Vantage Data Centers. AI models require immense computing power, and owning the buildings that house that power is now a top priority for Son.
2. Institutional Reach: DigitalBridge excels at raising capital from pension and sovereign wealth funds. SoftBank can leverage this expertise to fund future multi-billion dollar AI projects.
3. The “Arm” Connection: By owning both the chip design (Arm) and the data centers (DigitalBridge), SoftBank aims to control the entire AI supply chain.

Potential Impact on the Market

If the deal closes, it would be one of the most significant consolidations in the digital infrastructure space. It positions SoftBank as a direct competitor to other infrastructure giants like Blackstone and Brookfield, who have also been aggressively buying up data center capacity to meet the demands of companies like OpenAI and Microsoft.