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SoftBank and France Negotiate $100 Billion AI Infrastructure Partnership

SoftBank AI investment in France

SoftBank Group is in advanced talks with the French government to launch an artificial intelligence infrastructure project valued at $100 billion. SoftBank founder Masayoshi Son and French President Emmanuel Macron are leading the initiative. The plan involves building high-capacity data centers and facilities for manufacturing semiconductors within French borders. This expansion supports Son's global strategy to create a computing ecosystem for machine learning.

The partnership intends to use the French nuclear power grid to meet the energy requirements of AI operations. SoftBank aims to secure this low-carbon power source to support its hardware goals. An official announcement regarding the SoftBank AI investment in France is expected at the 2026 Choose France Summit. This annual event is the primary venue for attracting foreign direct investment to the country.

Strategic Expansion of Project Izanagi

This capital commitment is a part of Project Izanagi, which is SoftBank's plan to establish a global AI chip powerhouse. SoftBank is building a physical presence in Europe to compete with existing infrastructure providers. The company wants to control the supply chain for specialized AI silicon. Including semiconductor plants in the deal indicates a shift toward vertical integration. SoftBank is moving into the physical production of the chips that run AI models.

The deal supports President Macron's objective to make France a European technology hub. The French government uses its energy infrastructure to attract data center operators. These operators need reliable power to reduce carbon emissions. The SoftBank AI investment in France is one of the largest foreign investments in the nation's history. It could create thousands of jobs and expand the local semiconductor industry.

Implications for the Global AI Market

A $100 billion project indicates how investment firms are changing their approach to AI. SoftBank is not relying on existing cloud providers. Instead, the firm is buying the hardware and energy facilities that run the industry. This strategy addresses the fact that computing power and energy are the main constraints for AI development.

Analysts are waiting for the Choose France Summit for details on the investment timeline. As of May 12, 2026, the parties are finalizing regulatory and logistical details. The result of these talks will likely affect how other countries use their energy assets to attract AI spending. The project remains in the final stages of negotiation.

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