"The exchange was lighthearted but poignant. Huang quipped, "We can cry together," as he hugged Son on stage. Son described the 2019 sale as "tearful," admitting the regret over missing Nvidia's AI-fueled rise. Huang even recalled how Son once offered to back a full buyout of Nvidia, calling it a "great idea" in hindsight. This banter underscores Nvidia's transformation from a graphics chip specialist to the AI era's linchpin, with its GPUs essential for training large language models and data centers."
"At the recent AI Summit in Tokyo, Nvidia CEO Jensen Huang shared the stage with SoftBank founder Masayoshi Son, turning the spotlight on their shared history. Huang joked about Son's decision to sell SoftBank's Nvidia stake in 2019, just before the company's explosive growth driven by AI demand. SoftBank had invested around $700 million for a 4.9% stake, selling it for $3.3 billion - a solid profit at the time. But Huang pointed out that those shares would now be worth over $150 billion, given Nvidia's market surge."
"However, SoftBank has steadily reduced its holdings over the years. Recently, the firm disclosed it sold off its entire remaining stake in the AI chipmaker for $5.83 billion. This move has investors questioning Nvidia's future trajectory and whether they should be worried."
SoftBank originally accumulated a major position in Nvidia, including a $4 billion stake and an earlier 4.9% holding bought for about $700 million. SoftBank gradually reduced positions and recently sold its remaining Nvidia shares for $5.83 billion. The 2019 sale of a 4.9% stake for $3.3 billion is now seen as a missed opportunity given Nvidia's explosive AI-driven growth and vastly higher current valuation. Jensen Huang and Masayoshi Son publicly reflected on the timing and regret around earlier sales. Nvidia has shifted from a gaming GPU maker to a central AI infrastructure provider powering large language models and data centers.
Read at 24/7 Wall St.
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