SoftBank Group has agreed to acquire DigitalBridge Group in a $4 billion deal, marking one of the Japanese conglomerate’s most significant investments in AI infrastructure to date.
The acquisition reflects SoftBank’s aggressive push into the artificial intelligence sector, particularly in the physical infrastructure that powers AI workloads. DigitalBridge operates a substantial portfolio of data centers and digital infrastructure assets across global markets, positioning SoftBank to capitalize on surging demand for AI computing capacity.
Strategic Expansion in Data Center Market
The transaction strengthens SoftBank’s existing presence in the data center industry. DigitalBridge manages billions of dollars in digital infrastructure investments, including critical facilities that house servers and networking equipment for cloud computing and AI applications.
Data center demand has accelerated dramatically as companies race to deploy large language models and other AI systems. According to recent industry analysis from Goldman Sachs, data center power consumption could increase by 160% by 2030 due to AI workloads.
Son’s AI Vision Takes Physical Form
SoftBank founder Masayoshi Son has repeatedly emphasized artificial intelligence as the company’s primary investment focus. Son has described AI as the most important technological transformation of the century, committing tens of billions of dollars to related ventures through various SoftBank entities.
This acquisition provides immediate scale in a market where securing power capacity and real estate has become increasingly competitive. Major technology companies, including Microsoft, Google, and Amazon, have invested heavily in expanding their data center footprints to support AI development.
DigitalBridge’s existing relationships with telecommunications providers and enterprise clients could accelerate SoftBank’s ability to deploy AI infrastructure solutions. The company’s portfolio includes fiber networks, cell towers, and edge computing facilities that complement traditional data center operations.
Financial Implications and Market Position
The $4 billion price tag represents a premium valuation in the current market environment. Investment firms have grown more cautious about infrastructure deals following interest rate increases, yet AI-related assets continue commanding strong multiples.
SoftBank’s balance sheet has improved following recent asset sales and successful exits from portfolio companies. The acquisition signals renewed confidence in making large-scale investments after a period of portfolio consolidation. Analysts expect the deal to close within six months, pending regulatory review in multiple jurisdictions.
The transaction positions SoftBank to compete more directly with established data center operators like Equinix and Digital Realty, while creating potential synergies with the company’s telecommunications and semiconductor investments through Arm Holdings.
