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SoftBank Loses Nearly 20% This Week in AI-Driven Tech Selloff

Bubble fears pushed investors out of richly priced AI names despite solid earnings updates.

Overview

  • SoftBank shares fell 7% on Friday to ¥21,700, closing the week down nearly 20% and wiping about $51 billion from its market value.
  • The retreat unfolded across global AI-linked equities as valuation concerns fueled a broad risk-off move.
  • Japan’s Advantest and Renesas dropped, SK Hynix and Samsung declined in South Korea, and TSMC eased in Taiwan.
  • In the United States, Qualcomm and AMD fell, with Palantir and Oracle also sliding as selling extended beyond chipmakers.
  • The Global X Artificial Intelligence & Technology ETF declined about 4% for the week, and SoftBank’s exposure to Arm, a stake in OpenAI, and a recent $5.4 billion purchase of ABB’s robotics unit magnified its losses.