Chinese authorities determined that the acquisition of ABB Robotics should not be approved. The transaction was valued at approximately $5.4 billion and was a major deal for SoftBank Group's physical AI strategy.
According to ABB's announcement, China's foreign investment security review authority refused to approve the acquisition of ABB's robotics business. The transaction was valued at approximately $5.4 billion, and SoftBank Group had notified ABB of its plans to acquire the business.
Following China's decision, ABB said it would continue its dialogue with SoftBank, while the status of the transaction remained undecided. The original plan was for the transaction to close in the middle to latter half of 2026.
Led by Masayoshi Son (孫 正義), SoftBank Group is promoting the integration of AI applications and physical AI, while pursuing investments in and partnerships with Stargate and OpenAI. The rejection of the ABB acquisition proposal is viewed as potentially affecting the progress of this strategy.
In addition to the planned acquisition of ABB's robotics division, SoftBank is pursuing multiple initiatives, including the establishment of a holding company, "Robo HD," to manage robotics-related assets.
The rejection of the ABB Robotics acquisition proposal has highlighted the impact of China's foreign investment review process and underscored the caution surrounding SoftBank's global AI strategy.