Inside SoftBank’s $1 Trillion AI Gamble: What It Means for SFTBY Investors

SoftBank Group (SFTBY) is exploring a $1 trillion plan to build a massive AI and robotics manufacturing hub in Arizona. The project, known as “Project Crystal Land,” is still in its early planning stages but aims to produce semiconductors and industrial robots at scale. The goal is to expand U.S. manufacturing capacity in advanced technologies and reduce reliance on imports.

Year-to-date, SFTBY shares are up 5.31%.

TSMC Is a Potential Partner

The initiative is being led by CEO Masayoshi Son and modeled after Shenzhen’s high-tech zones in China. According to reports, SoftBank is in talks with the Trump administration, including Commerce Secretary Howard Lutnick, about possible tax incentives and regulatory support. The company is also reaching out to tech giants like Taiwan Semiconductor Manufacturing (TSM) and Samsung Electronics (SMSN) to participate.

So far, TSM has not confirmed any commitment beyond its existing $165 billion investment in U.S. chip production. SoftBank may also involve some of its Vision Fund portfolio companies by setting up production facilities inside the new complex.

The project’s success will depend on a combination of government backing, industry partnerships, and financing. SoftBank has already taken similar steps with the $500 billion Stargate AI infrastructure initiative, which includes partners like Oracle (ORCL), OpenAI, and MGX. For now, Project Crystal Land is more concept than construction site. But it reflects SoftBank’s continued push to expand its presence in U.S. tech and AI infrastructure.

What Is SFTBY Stock Smart Score

SoftBank currently holds a Smart Score of 3, landing it in the “Underperform” zone. While analysts rate the stock a “Hold” with an average price target of $32.20, market sentiment is mixed. Fundamentals indicate a 10.28% return on equity, but a 2.50% decline in asset growth over the past year.