SoftBank Group’s and Nvidia’s Potential investment in AI Startup

SoftBank Group and Nvidia are in talks to invest over $1 billion in robotics AI startup Skild AI, potentially valuing the company at around $14 billion—nearly triple its $4.7 billion valuation from earlier this year. The funding round, expected to close before Christmas, reflects growing investor interest in general-purpose robotics AI. Skild’s previous backers include Amazon, LG’s venture arm, Samsung, Lightspeed Venture Partners, Khosla Ventures, and Jeff Bezos. Founded in 2023 by former Meta AI researchers and spun out of Carnegie Mellon University, Skild develops foundation AI models for robots, rather than manufacturing hardware. Its technology enables robots to perceive environments and make human-like decisions across multiple settings, from warehouses to homes. The company unveiled its first general-purpose robotics AI model in July 2024. Investor interest in humanoid and general-purpose robotics is surging amid advances in AI perception, reasoning, and motion planning. However, experts caution that reliable deployment in uncontrolled environments remains technically challenging. SoftBank’s investment aligns with CEO Masayoshi Son’s strategic push into robotics, following its $5.4 billion acquisition of ABB’s robotics business. Policy support is also emerging, with U.S. Commerce officials exploring ways to accelerate domestic robotics development, including a potential executive order next year. Skild’s rapid growth—from a $1.5 billion Series A last year to its current valuation—signals strong confidence in the company’s vision, though widespread adoption of its AI foundation models remains an open question.