SoftBank shares tumble 14% on OpenAI IPO delay concerns

SoftBank Group Corp. shares slumped nearly 14% on Friday, leading a sell-off in Asian technology stocks following overnight losses on Wall Street. The sell-off was also triggered by reports that OpenAI may defer its highly anticipated stock market debut until next year, raising concerns over delayed returns for one of the Japanese conglomerate's biggest investments.

Investor sentiment was further weighed down by concerns over the rising costs of building artificial intelligence infrastructure, adding to the pressure on AI-related stocks worldwide.

Tokyo-listed SoftBank shares were trading 13.8% lower at 6,137 yen at the time of reporting. The stock has declined more than 21% over the past month, although it remains up over 33% so far in calendar year 2026. The counter has delivered returns of nearly 150% over the past year.

According to reports, OpenAI is considering delaying its initial public offering (IPO) until next year. In recent months, SoftBank's share price has rallied strongly, driven largely by expectations that an OpenAI listing would significantly boost the value of its investment portfolio.

The uncertainty over the IPO timeline has sparked concerns that investors, including SoftBank, may have to wait longer to unlock value from one of the world's most closely watched AI companies.

In overnight trading, the Nasdaq Composite fell 0.46%, marking its fourth consecutive day of losses, its longest losing streak since February. Among the technology heavyweights, Apple shares dropped 6% after the company announced price increases for MacBooks and iPads, citing higher component costs, including semiconductors. Microsoft fell 3.5% after unveiling higher prices for Xbox consoles, while Alphabet and Meta Platforms lost nearly 1% and more than 2%, respectively.

SoftBank's AI exposure also weighed on sentiment after Arm Holdings, the chip designer backed by the Japanese group, declined 3.2% in U.S. trading.

Earlier this month, OpenAI, led by Sam Altman, confidentially filed paperwork with the U.S. Securities and Exchange Commission and is reportedly working with Goldman Sachs and Morgan Stanley on a potential stock market listing.

The filing coincides with rival Anthropic confidentially filing its own draft S-1 with the SEC following a $65 billion capital raise that valued the company at $965 billion post-money, ahead of OpenAI's $852 billion valuation.

While earlier reports had suggested that OpenAI could go public as early as this year, recent reports indicate that Chief Financial Officer Sarah Friar has internally signalled that the company is targeting a 2027 listing.

According to a leaked financial statement that surfaced recently, OpenAI spent about $34 billion in 2025 as it accelerated investments in AI infrastructure, research and talent. Research and development accounted for the largest share of expenditure at roughly $19 billion, while sales and marketing expenses totaled nearly $6 billion, according to the Financial Times.

OpenAI generated revenue of $13.07 billion in 2025, up sharply from $3.7 billion a year earlier. However, total costs and expenses climbed to around $34 billion from $12.48 billion, resulting in an operating loss of nearly $21 billion. The company reported a net loss attributable to shareholders of approximately $39 billion in 2025, widening significantly from about $5 billion in 2024.

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