AI tour to Silicon Valley: Softbank relies on artificial intelligence in its portfolio companies

At the moment everything revolves around the topic of artificial intelligence (AI). The Japanese investor Softbank has also jumped on the bandwagon and now wants to penetrate its portfolio companies with AI technology.

• Artificial intelligence: Analysts see great potential
• Softbank wants to penetrate portfolio companies with AI technology
• Industry in which AI can be used as a prerequisite for investment

Artificial intelligence is currently the hot topic on the market. ChatGPT and software that can generate images based on text descriptions have triggered a real AI hype in recent months. Many companies want to keep up with this trend, and so does the need for specialized technology in data centers. This in turn benefits companies such as the chip group NVIDIA.

Analysts also see great potential in the field of artificial intelligence. For example, Wedbush Securities analyst Dan Ives told CNBC’s “Squawk Box Asia” that artificial intelligence is “the fourth industrial revolution” that is just around the corner. “I think these are really transformative changes in technology that I believe will change the technology space in the next 20 to 30 years,” said Ives, who expects more investment in artificial intelligence in the coming years.

Softbank relies on AI for its portfolio companies

The Japanese technology group Softbank is also focusing on the trend topic and wants to permeate its portfolio companies with AI technology. Yahoo Finance reports that the investor will be taking a group of its Indian startup founders on an AI tour to Silicon Valley this month.

Sumer Juneja, Managing Partner and Head of EMEA and India at Softbank Investment Advisers, explained in an interview that Softbank supports portfolio companies in adopting AI and has organized meetings for company-backed founders with the leading players in the field. According to Juneja, Softbank expects to take many of the 20 founders of its companies from India to Silicon Valley – but he did not name any.

The Softbank portfolio in India includes companies such as the hotel chain OYO Rooms, the used car marketplace CARS24, the instant delivery service Blinkit, the B2B e-commerce platform ElasticRun, the online mail order company Flipkart and the food delivery service Swiggy.

According to Yahoo Finance, Juneja explained that companies in many industries, such as software-as-a-service, would become obsolete if they didn’t quickly adopt AI use cases. After investors have been disappointed by loss-making startups at Softbank in the past, such as WeWork, Softbank restarted its startup investments in the second quarter, but now wants to make sure that none of the companies miss out on the latest trend. “We don’t want to invest in a company that misses the AI ​​wave and then becomes irrelevant three years later,” Yahoo Finance quoted Juneja as saying. “Having a sophisticated technology team and being in the right industry where AI can be used to make the business model even more efficient is a must for us to write new checks,” continued Juneja. “If you’re late to the AI ​​party, you’re done, and if you’re early, it won’t impact your sales. We help make the transition go right.”

Editorial office finanzen.net

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