SoftBank to launch US computing capacity leasing business

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SoftBank Group's new US venture plans to start renting cloud computing capabilities required to develop and run artificial intelligence models, seeking to capitalize on rising demand for computing infrastructure.

The company will set up this month SB Neo Inc., which will provide advanced AI chips and computing capacity to large enterprises, SoftBank said in a statement today, June 2.

The group’s telecom unit, SoftBank Corp., will own a 51% stake in SB Neo, while parent SoftBank will hold the remaining 49%.

SB Neo will utilize SoftBank's US power infrastructure projects and AI data centers, with computing capacity set to expand in phases.

The US cloud computing business could triple or quadruple SoftBank Corp.'s revenue to JPY 3 trillion-4 trillion ($18.5 billion-$25 billion), Bloomberg reported, citing resources.