Benzinga - by AJ Fabino, Benzinga Staff Writer.
SoftBank Group Corp – ADR (OTC:SFTBY) known for its tech industry stakes, recently invested in an autonomous trucking startup, Stack AV. The startup, led by founders formerly associated with the self-driving unit of Ford Motor Company (NYSE:F) and Volkswagen AG (OTC:VWAGY), reportedly secured an investment believed to be north of $1 billion from SoftBank.
SoftBank’s association with the Pittsburgh-based Stack AV merges their expansive ambitions in the artificial intelligence (AI) sector with the startup’s goals to revolutionize the logistics and supply chain industry, according to Bloomberg, which initially covered the topic.
Stack AV, under the leadership of Bryan Salesky, Pete Rander, and Brett Browning, already boasts a team of 150 employees and a fleet of test trucks.
SoftBank previously made an exit from the autonomous vehicle sector by selling its stake in Cruise LLC to General Motors Co (NYSE:GM) for $2.1 billion. Yet, SoftBank's investment in Stack AV underscores a continued interest in the potential of automated trucking.
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Kentaro Matsui, SoftBank’s head of new business, noted that he was confident in Stack AV’s "veteran" leadership, saying that the company can revolutionize the transportation of goods with AI.
At the same time, SoftBank is gearing up for a much anticipated event with the IPO of Arm Holdings Ltd, a leading chip designer. Expected valuations place the company between $50 billion to $54 billion, positioning it as a key player in the chip space.
The projected valuation, however, is more cautious than investors might expect, especially when comparing it to the recent $64 billion valuation, at which SoftBank acquired a 25% stake in Arm.
SoftBank’s decision to back Stack AV highlights their commitment to innovation and belief in the transformative power of AI and autonomous technologies.
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