Necessary Always Active
Necessary cookies are required to enable the basic features of this site, such as providing secure log-in or adjusting your consent preferences. These cookies do not store any personally identifiable data.
|
||||||
|
||||||
|
||||||
|
Published on
October 8, 2025
5 min read
SoftBank Buys ABB Robot Unit to Supercharge Robotics Ambitions
In Focus
- SoftBank Group agreed to acquire the robotics unit of ABB for $5.4 billion
- The acquisition is part of SoftBank’s long-term strategy to establish leadership in AI
- The deal is subject to regulatory approval
- With the acquisition, ABB will not spin off its robotics unit and list it separately
Japanese investor SoftBank will buy ABB’s robotics business in a $5.4 billion deal. The acquisition is part of SoftBank’s strategy to merge AI and robotics. According to Reuters, the deal is subject to regulatory approval, with the transaction expected to close by mid or late 2026.
What is the ABB-SoftBank Robotics Deal About?
ABB’s robotics unit makes industrial robots like large robotic arms that are capable of making precise movements in factories. The acquisition deal means that the Swiss engineering company will not push forward its initial plan to spin-off its robotics business and list it as an industrial automation business.
For SoftBank’s founder and CEO Masayoshi Son, ABB Robotics buyout is the latest deal in his quest to merge AI and robotics. Son has been working to position the Japanese multinational as an important actor in the development of AI technologies.
“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,” Son said.
The sale of ABB Robotics division to SoftBank is the first major decision that the Swiss engineering firm has made under the leadership of CEO Morten Wierod. The division has experienced years of dipping sales and profitability. ABB has 7,000 employees in its robotics division.
SoftBank’s Long-Term Robotics Strategy
This isn’t the first time SoftBank is pursuing an initiative in robotics. About ten years ago, the Japanese investor attempted to enter the robotics industry with its Pepper robot before scaling back.
In June 2025, the Japanese multinational shared plans to build a massive SoftBank AI hub worth $1 trillion in Arizona. The AI hub, which is still in its early stages, is an integral part of SoftBank robotics strategy.
The hub is expected to focus on artificial intelligence, robotics, and advanced manufacturing. Son’s vision is to make the Arizona U.S. version of China’s Shenzhen city, where factories produce robots and AI-powered technologies on a large scale. The Japanese multinational has made huge investments in the AI industry, including a $1.5 billion investment in OpenAI and leading its $40 billion funding round.
Highlights of the Soft-Bank ABB Deal:
- ABB Robotics unit makes industrial robots
- SoftBank plans to fuse robotics with Artificial Super Intelligence
- ABB Robotics generated 7% of the company’s total revenue in 2024
- Zuercher Kantonalbank expected ABB Robotics’s value to be less than $4 billion
ABB Struggled with High Volatility, Low Revenue
Last year, ABB robotics revenue represented only 7% of the company’s total revenue. ABB focuses primarily on automation and electrification. The company found minimal overlap between the robotics business and its main focus, which could have affected ABB’s robotics market share.
“We always said that robotics is a market with much higher volatility. And that’s what we’ve seen over the years, both when it comes to growth, but also margins. So it is a bit of a different market than, say, the rest of ABB today, which is focusing on electrification and automation,” Wierod said.
In April 2025, ABB informed shareholders of the decision to spin off the robotics unit. Later, when SoftBank’s deal offered immediate cash, the company decided to sell the business. ABB will use proceeds from the acquisition to boost its production capacity in automation and electrification, as well as develop new technology.
The company added that it could finance new acquisitions with the funds. Switzerland’s Zuercher Kantonalbank expected ABB Robotics business to be valued below $4 billion under the spin-off plan. The sale announcement pushed ABB shares up 2% in Zurich.
