SoftBank to Buy DigitalBridge for $4B to Expand Physical AI Data Centers

Deal Structure and Financials

The transaction is an all-cash offer at $16 per share, fully approved by DigitalBridge’s Board of Directors and a special committee of independent directors. It corresponds to an enterprise value of approximately $4.0 billion, including DigitalBridge’s debt and liabilities. The offer price is meaningful relative to recent trading activity: it is ~15% above the close on 26 December 2025, and ~50% above the unaffected 52-week average as of early December. This suggests SoftBank is paying a strong premium, likely anticipating significant future value. [1][4][2][3]

DigitalBridge’s assets under management (AUM) are large—about $108 billion—comprising data centers, telecom towers, fiber networks, edge infrastructure and small cells. The comparison of the deal value to DigitalBridge’s assets suggests SoftBank is buying a platform more than just real estate; it’s acquiring operational flexibility, network reach, and infrastructure capabilities crucial to AI deployments. [1][2][4]

Strategic Rationale

SoftBank is clearly emphasizing “physical AI” infrastructure—compute, connectivity, power, scale—areas where DigitalBridge has deep exposure and strength. CEO Masayoshi Son’s vision of “Artificial Super Intelligence” positions AI not just as a software/domain game, but one that demands physical build-out. DigitalBridge’s portfolio gives SoftBank critical capacity in AI-supporting infrastructure globally. Combining Sof­tBank’s capital and global footprint with DigitalBridge’s platform could yield economies of scale, better financing, and faster deployment. [1][2][4]

This move dovetails with recent SoftBank moves: selling its $5.8 billion stake in Nvidia and increasing investment in OpenAI, plus contributing to the Stargate project (with Oracle and others) to build U.S. AI compute capacity. The acquisition expands SoftBank’s control over the foundational layers needed for AI scaling—data centers, network infrastructure, and power. [2][3][4]

Risks, Timing, and Integration Considerations

Though approved internally, the deal depends on customary closing conditions including regulatory approvals and DigitalBridge shareholder votes. Given the global nature of DigitalBridge’s assets (including in U.S. telecom infrastructure), antitrust or national security regulators may scrutinize the transaction, potentially causing delays or conditions. [1][4]

Integration risk may be mitigated since DigitalBridge is to operate as a separately managed platform under its existing leadership (Marc Ganzi). However, alignment with SoftBank’s broader ASI strategy will require capital, alignment on investment horizons, and consistent prioritization of projects. Also, paying 50% premium over average price sets high expectations for performance and return. [1][2][3]

Strategic Implications

For SoftBank, this accelerates its pivot toward becoming an infrastructure-first AI platform provider, rather than primarily a software/AI model investor. It may similarly increase SoftBank’s leverage in AI compute supply chains and geographies. For DigitalBridge’s stakeholders, this gives liquidity at a premium, but under SoftBank ownership. This could re-shape competitive dynamics among AI infrastructure providers: rivals like Equinix, Digital Realty, CyrusOne, or global telecommunications firms may respond with M&A or investment initiatives to guard market share. Also, asset yields, financing costs, and energy/power logistics will become more critical operational levers.

Open Questions

• Regulatory: What regulatory or national security hurdles might emerge, especially in cross-border infrastructure and data protection jurisdictions?
• Capital: Can SoftBank fund this acquisition alongside its existing large-scale AI bets (OpenAI, Stargate) without overextending leverage?
• Return expectations: What degree of utilization, margin expansion, or asset monetization is required to make the 50% premium justifiable?
• Operational integration: How will SoftBank and DigitalBridge align on investment priorities—particularly regarding edge infrastructure, fiber/high bandwidth interconnects, and green energy/power sourcing—areas that often bear operational challenges?
• Competitive response: Will this trigger consolidation or acceleration among other players in AI infrastructure, including hyperscalers, telecoms, and REITs?