Article

SoftBank’s share price has June halved from its peak,AI with speculative bets and debt pressures raising market concerns

PANews October 22 reported, citing Bloomberg, that possibly due to rising financing costs and investor concerns about the sustainability of large-scale artificial intelligence investments, SoftBank’s share price has fallen by approximately June 2 cumulatively from the historical high set by 50%, reducing its market capitalization to approximately 157000000000 USD, and just 4 months ago, SoftBank briefly surpassed Toyota to become Japan’s company with the highest market capitalization. In addition, concerns about financing risks in the AI industry continue to intensify, while SoftBank’s heavy reliance on debt financing to deploy AI infrastructure has pushed the price of its credit default swaps (CDS) to nearly a 4-year high this week, further intensifying market concerns about its financial condition.

Source: https://www.panewslab.com/zh/articles/01a162db-b3a6-75e6-8293-ec8baeee0f10