SoftBank to Acquire ABB's Robotics Division for $5.375 Billion

SoftBank Group Corp. has announced a definitive agreement to acquire ABB Ltd.'s robotics division for $5.375 billion, marking a significant expansion of its artificial intelligence (AI) and robotics portfolio. The deal, disclosed on October 8, 2025, is subject to regulatory approvals in the European Union, China, and the United States, with an anticipated closing in mid-to-late 2026.

ABB's robotics division, a globally recognized leader in industrial automation, generated $2.3 billion in revenue in 2024, accounting for approximately 7% of ABB's total sales. The division employs around 7,000 people and specializes in industrial robots and automation solutions, serving sectors such as automotive and electronics manufacturing.

SoftBank's Chairman and CEO, Masayoshi Son, emphasized that this acquisition aligns with the company's strategic focus on "Physical AI," which aims to integrate artificial intelligence with robotics to drive innovation and growth. Son stated, "SoftBank’s next frontier is Physical AI. Together with ABB Robotics, we will unite world-class technology and talent under our shared vision to fuse Artificial Super Intelligence and robotics — driving a groundbreaking evolution that will propel humanity forward."

This acquisition represents a substantial expansion of SoftBank's robotics portfolio, complementing existing investments in companies like AutoStore Holdings Ltd. and Agile Robots SE. By integrating ABB's robotics capabilities, SoftBank aims to accelerate innovation in AI-driven robotics and strengthen its position in the evolving field of artificial intelligence and automation.

For ABB, the sale marks a strategic shift, as the company had previously planned to spin off its robotics unit into a separately listed entity. The sale is expected to generate approximately $5.3 billion in net cash proceeds for ABB, which plans to reinvest these funds and return value to shareholders. ABB's CEO, Morten Wierod, commented, "SoftBank will be an excellent new home for the business and its employees. ABB and SoftBank share the same perspective that the world is entering a new era of AI-based robotics and believe that the division and SoftBank’s robotics offering can best shape this era together."

The transaction is subject to customary regulatory approvals in the European Union, China, and the United States. Given the strategic importance of robotics and AI technologies, regulatory bodies may closely scrutinize the deal to assess its impact on competition and national interests. The expected closing is projected for mid-to-late 2026, allowing time for these approvals to be secured.

Following the announcement, ABB's shares rose 3% in Zurich pre-market trading, while SoftBank's shares saw a modest 1% gain. This indicates a positive reception from investors, reflecting confidence in the strategic rationale behind the acquisition and its potential to drive growth and innovation in the AI and robotics sectors.

This acquisition is part of SoftBank's ongoing strategy to invest heavily in AI and robotics. Previous investments include the acquisition of Boston Dynamics and the development of the humanoid robot Pepper. The purchase of ABB's robotics division represents a significant step in SoftBank's ambition to lead in the integration of AI and physical systems, marking a shift from software-centric AI applications to tangible, real-world implementations.

As the transaction progresses through regulatory channels, the industry will be closely watching how this acquisition influences the competitive landscape of AI and robotics, as well as the broader implications for automation and industrial innovation.