SoftBank CEO says if you think AI is a bubble, you don't understand AI

SoftBank CEO Masayoshi Son has never been shy about making bold predictions, and his latest comments show he remains one of artificial intelligence's biggest believers. While concerns about an AI bubble continue to grow, Son argues that people questioning the technology's future simply do not understand its long-term potential.

Speaking at SoftBank's annual corporate conference in Tokyo, Son dismissed suggestions that the AI boom resembles a financial bubble. His remarks come as SoftBank continues investing heavily in OpenAI despite growing scrutiny from credit agencies and broader debates about whether today's AI spending can deliver lasting returns.

Masayoshi Son rejects the AI bubble narrative

Questions about whether artificial intelligence is experiencing a bubble have become increasingly common as companies pour billions into developing new AI systems, data centers, and infrastructure. Critics argue that spending has accelerated much faster than profits, raising concerns that expectations may have become unrealistic.

Son sees the issue very differently. During SoftBank's conference, he described the entire debate as misguided.

According to Reuters, Son said asking whether AI is a bubble is “absurd,” adding that those who ask the question do not truly understand what artificial intelligence is about. Rather than viewing today's investments as excessive, he believes they represent the beginning of a much larger transformation.

His comments continue a message he has repeated before. Son has previously pushed back against claims that AI is a bubble, arguing that artificial superintelligence could become far more valuable than skeptics expect.

Why do some people remain skeptical?

Despite the enthusiasm surrounding artificial intelligence, not everyone is convinced the industry's rapid expansion is sustainable.

Recent market research and commentary show that concern about a possible AI bubble has become part of the broader debate as companies race to develop more advanced AI systems. At the same time, public polling shows many Americans remain uneasy about AI’s pace and impact.

Much of that skepticism centers on whether companies can eventually earn enough revenue to justify the enormous costs of developing cutting-edge AI. Training advanced models requires massive computing power, specialized chips, and extensive infrastructure, all of which demand significant financial resources.

These concerns have fueled ongoing debates across the technology industry, with supporters emphasizing AI's long-term opportunities while critics question whether today's spending can eventually generate sufficient returns.

SoftBank continues betting billions on OpenAI

Few companies illustrate that debate more clearly than SoftBank. The investment giant has committed nearly $65 billion to ChatGPT creator OpenAI, making it one of the company's biggest financial backers. That enormous investment reflects Son's confidence that artificial intelligence will eventually reshape industries worldwide. For SoftBank, however, those investments also come with financial risks.

As the company's exposure to OpenAI has grown, investors and analysts have paid closer attention to how those commitments could affect SoftBank's broader financial position.

While Son remains focused on AI's future potential, others have questioned whether concentrating so much capital into one rapidly evolving sector could create additional pressure if returns take longer than expected. Even so, SoftBank has shown little indication that it plans to slow its investment strategy.

Credit agencies have raised concerns

SoftBank's aggressive AI investments have not gone unnoticed by financial analysts. S&P Global Ratings revised SoftBank Group’s outlook from stable to negative in March 2026, citing concerns that the company’s large follow-on investment in OpenAI would make it take longer to restore liquidity and investment-asset quality.

S&P said SoftBank’s additional OpenAI investment could reduce its financial capacity and raise its loan-to-value ratio by about 4 percentage points, affecting an important measure of the company's financial health.

Those concerns do not necessarily question artificial intelligence itself. Instead, they focus on the financial risks SoftBank is taking as it continues to invest heavily in a single area of the technology sector.

Son believes the costs will eventually make sense

Rather than backing away from those concerns, Son has embraced the idea that developing advanced artificial intelligence will require substantial investment.

During his conference remarks, he suggested annual AI investment could eventually reach about $5 trillion, or roughly 800 trillion yen. While acknowledging that such numbers may sound unbelievable today, he expressed confidence that this level of investment will ultimately be necessary.

That projection highlights just how differently Son views the future compared with many skeptics. Instead of seeing today's spending as excessive, he believes current investments represent only a fraction of what the world may eventually commit to AI development.

His perspective assumes that artificial intelligence will become deeply integrated into economies worldwide, creating opportunities that justify massive long-term investments.

Looking toward 2040 instead of today's profits

Son's optimism also extends well beyond the next few years. The SoftBank CEO has previously predicted major advances toward artificial superintelligence. In his latest remarks, he pointed to 2040 as the period when AI’s business model could become fully viable.

According to Son, if AI-related revenue eventually accounts for 20% of global gross domestic product, spending 800 trillion yen each year would become relatively insignificant in comparison.

That outlook reflects his belief that artificial intelligence will eventually transform nearly every major industry rather than remaining limited to chatbots or productivity software. In his view, today's investments should be evaluated against decades of future economic growth rather than short-term financial results.

A debate that is unlikely to end soon

The divide between AI supporters and skeptics continues to widen as investments accelerate across the technology industry.

On one side are executives like Son, who argue that artificial intelligence represents a once-in-a-generation technological shift deserving enormous financial commitments. They believe today's spending lays the foundation for future breakthroughs that could reshape the global economy.

On the other side are investors, analysts, and members of the public who question whether expectations have become too optimistic. They worry that companies may be spending faster than they can generate meaningful returns, creating conditions similar to those of previous technology investment booms.

SoftBank's strategy has become one of the clearest examples of that broader debate.

What Son's comments reveal

Son's latest remarks leave little doubt about where he stands. He remains convinced that artificial intelligence will eventually justify investments that currently appear extraordinary. Even after financial agencies raised concerns about SoftBank's growing exposure to OpenAI, he continues arguing that the industry's future is far bigger than many people realize.

Whether history ultimately proves him right remains uncertain. For now, his comments highlight the enormous divide between those who see AI as an economic revolution still in its early stages and those who believe expectations have raced ahead of financial reality.

TL;DR

• SoftBank CEO Masayoshi Son dismissed claims that artificial intelligence is in a bubble, calling the idea “absurd.”
• Son said people questioning whether AI is a bubble do not fully understand the technology's long-term potential.
• He believes AI development could eventually require about $5 trillion, or 800 trillion yen, in annual spending.
• SoftBank’s cumulative OpenAI investment is set to exceed $60 billion before the end of 2026, making it one of the company’s largest backers.
• S&P Global Ratings revised SoftBank Group’s outlook from stable to negative, warning that additional OpenAI investments could weaken the company’s financial flexibility.
• Son remains undeterred and now believes AI’s business model will become fully viable by 2040, when AI revenue could account for 20% of global GDP.
• The debate over whether AI is a transformative technology or an investment bubble continues as companies pour billions into the industry.

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This article was made with AI assistance and human editing.