Softbank's Pan-Asian Investment Plan Aims to Spur Internet Growth Across East Asia

Strategic Insights -

Masayoshi Son, chairman of Softbank Corp. and Japan's wealthiest person, has announced a 30-year plan to invest in and support the growth of Internet venture firms in South Korea, Japan, and China. This initiative, dubbed "Oriental Express," aims to help companies from these countries launch businesses in other Asian countries. Son, who has successfully led businesses in the Chinese Internet market, plans to invest through stake acquisitions, joint ventures, and partnerships.

Key Takeaways:

  • Softbank has over 800 affiliated companies worldwide, with a significant presence in the Internet, telecommunications, media, and online commerce sectors.
  • The company has invested US$230 million in 127 Korean companies through its venture capital fund and has built partnerships with local online game developers, electronics companies, Internet firms, and other companies.
  • Softbank's Oriental Express plan aims to support Korean, Japanese, and Chinese Internet companies in launching businesses in various Asian countries.
  • The initiative will involve investing in various forms, including small companies, big companies, joint ventures, and others.
  • Softbank's stake holding in its affiliates is limited to about 20 to 40%, and the company restricts the use of its Softbank brand.

Statistics:

  • 800: Number of Softbank-affiliated companies worldwide.
  • US$230 million: Amount invested by Softbank in 127 Korean companies through its venture capital fund.
  • 127: Number of Korean companies invested in by Softbank through its venture capital fund.
  • 3: Number of East Asian countries targeted by Softbank's Oriental Express plan (South Korea, Japan, and China).
  • 30: Number of years covered by Softbank's investment plan.

Sources:

  • Softbank Corp. (TSE:9984)
  • Reuters: "Softbank's Smith to launch Asian Internet firms"
  • Yonhap: "Softbank to invest in Asian Internet firms"