In a significant move to build its AI infrastructure, SoftBank has confirmed its purchase of Sharp’s Sakai Plant in Osaka for 100 billion yen ($676 million). The facility, once used for manufacturing LCD panels, will be repurposed into an advanced AI data center, marking a key step in SoftBank’s broader strategy to establish a major AI operation in Japan.
Data centers are a vital part of the rapidly growing generative AI market, providing the necessary capacity for both model training and operational deployment. As AI’s demand for computational power continues to soar, SoftBank’s new data center will play a crucial role in meeting these needs. The facility will serve as the base for SoftBank’s joint AI ventures with OpenAI, a collaboration that has already led to the development of “Cristal Intelligence,” an AI solution targeted at enterprises in Japan.
OpenAI is planning to bring its foundational models to the Japanese market, with the Sakai data center providing the necessary GPU resources to train these models. SoftBank and OpenAI’s joint venture, SB OpenAI Japan, will use the facility to train AI models based on customer data, including insights from marketing and other industries. These models will then be customized and sold to Japanese companies in the form of specialized AI agents, providing tailored AI solutions for various business needs.
The new facility will be SoftBank’s third data center in Japan, following its existing sites in Tokyo and a new facility under construction in Hokkaido. The Sakai Plant is expected to begin operations in 2026, with initial power capacity set at 150 megawatts, which will increase to over 240 megawatts as the center scales.
The deal is part of SoftBank’s broader AI investment strategy, which also includes a potential $25 billion investment in OpenAI. This partnership is expected to help both companies expand their AI footprint globally, particularly in Japan. The data center will not only support SoftBank’s own AI projects but also serve as a foundation for OpenAI’s global operations, making it a key hub for their future AI initiatives.
With this acquisition, SoftBank is positioning itself to be at the forefront of AI development in Japan, using cutting-edge infrastructure to support its growing AI operations.
