Trump Announces $100 Billion Investment by SoftBank in the U.S.

President-elect Donald Trump has teamed up with Masayoshi Son, CEO of SoftBank Group, to reveal an ambitious plan for the Japanese company to invest $100 billion in various projects throughout the United States over the next four years.

This announcement took place on Monday at Trump's Mar-a-Lago resort, where Son was present alongside Howard Lutnick, the head of investment bank Cantor Fitzgerald and Trump's nominee for commerce secretary.

Trump expressed that this significant investment is a sign of optimism from Son regarding the future of the United States. He mentioned that since the election, many people have shown interest in bringing “tremendous amounts of money” into the country.

According to Trump, the commitment from SoftBank serves as “a monumental demonstration of confidence in America’s future.” He emphasized its importance in showcasing that international companies are ready to invest heavily in American projects.

Son remarked that he wished to “celebrate the great victory of President Trump” and aimed to contribute to bringing global peace. He stated, “I am truly excited to make this happen.”

Interestingly, Trump noted that the $100 billion investment almost doubles the promise Son made back in 2016, after Trump was elected for his first term when he announced a plan to create 50,000 jobs and invest $50 billion in U.S. startups. Trump humorously suggested at the microphone that Son could make an even larger commitment: “Would you make it $200 billion?”

Despite the optimism surrounding this announcement, it is worth noting that past deals have sometimes not resulted in the anticipated outcomes. For instance, Trump previously lauded Foxconn Technology Group after it proposed building a $10 billion complex in Wisconsin, a project that fell short of its original promises following the disruption of the COVID-19 pandemic.

Nevertheless, this recent announcement appears to be a win for Trump, who has been promoting his policies and negotiating with international leaders since his election. He recently threatened to impose significant tariffs on Mexico and Canada, prompting visits from both countries’ leaders.

In a recent update on his Truth Social platform, Trump mentioned that any investment exceeding $1 billion in the U.S. would benefit from expedited approvals and permits, including environmental clearances.

SoftBank, founded in 1981 by Son, is known for its diverse investment portfolio, including well-known companies like Yahoo, Chinese retailer Alibaba, and artificial intelligence giant Nvidia. Earlier in the year, SoftBank also formed a partnership with Saudi Arabia to establish a robot manufacturing facility in Riyadh.

Son had met with Trump following Trump's 2016 election victory, leading to the announcement of the $50 billion investment plan. While this initial investment seemed to exhibit potential, not all of SoftBank's endeavors have been successful. The company's notable stake in the office-sharing company WeWork suffered a collapse, and its investment in the robot pizza startup Zume also failed to materialize as expected.

This latest announcement from Trump comes shortly after he promised to expedite federal permit processes for significant energy and construction projects worth over $1 billion. It highlights his ongoing efforts to foster an environment conducive to investment and job creation in the United States.

Trump, Investment, SoftBank