A Major Shift in Capital Allocation
SoftBank Group has executed a high-concentration strategy in its US equity portfolio, allocating approximately 66.8% of its $18 billion holdings into Intel Corporation. According to a 13F filing disclosed on August 14, 2026, the company held over 86.9 million shares of Intel as of June 30, 2026, valued at approximately $12.14 billion. This move represents a significant directional bet on the recovery of the American semiconductor giant, distancing itself from the diversified holdings typical of large institutional funds.
While SoftBank maintains other positions, such as Symbotic and T-Mobile, these holdings represent only a fraction of the Intel stake. The strategy underscores Masayoshi Son’s belief in Intel’s role as a cornerstone of the global “physical AI” infrastructure—a sector SoftBank is aggressively targeting through both equity investments and upcoming debt financing.
This report draws on information published by 247wallst.com and asia.nikkei.com.
Betting on the Foundry Recovery
The investment rationale appears rooted in Intel’s recent financial trajectory. In Q2 FY2026, Intel reported revenue of $16.128 billion, marking a 25.4% year-over-year increase. Notably, the company’s Data Center and AI division saw a 59% jump in revenue, reaching $6.262 billion. Intel CEO Lip-Bu Tan has characterized this period as the firm’s strongest revenue growth in over 15 years, sustained by seven consecutive quarters of beating market expectations.
SoftBank’s commitment is not entirely new; it previously participated in a $2 billion strategic investment into Intel that closed in Q3 2025. By increasing its stake significantly, SoftBank is positioning itself to capitalize on Intel’s planned capital expenditure, which is projected to exceed $20 billion for 2026, with further increases expected in 2027. This expenditure is aimed at scaling manufacturing capacity, which Son views as essential for the physical AI boom.
Funding the Physical AI Expansion
Beyond its equity positions, SoftBank is seeking to raise approximately 1 trillion yen ($6.26 billion) through a corporate bond issue aimed at retail investors in Japan. This move, reported by Nikkei, would represent the largest-ever retail bond issuance by a Japanese company. The funds are earmarked to accelerate SoftBank’s broader “Activate AI for Society” strategy, which focuses on integrating AI across various industrial and social sectors.
Despite the strategic clarity, the timing of the Intel position has faced scrutiny. Between June 30 and the August 14 disclosure, Intel shares experienced volatility, falling roughly 26%. However, SoftBank’s long-term thesis relies on Intel’s foundry execution rather than short-term price fluctuations, viewing the semiconductor maker as a critical asset in a market where computing power and physical infrastructure are becoming as valuable as the software models themselves.