Keywords: SoftBank, Vision Fund, $32 billion loss, tech investment

SoftBank, one of the biggest tech investors in the world, has reported a record $32 billion loss for its Vision Fund arm in the full year 2022 earnings report. The loss was attributed to the poor performance of its flagship investments in companies such as WeWork and Uber.

The Vision Fund, which manages over $100 billion in investments, has been facing significant challenges in recent years. Its investments in WeWork and Uber have been particularly problematic, with both companies struggling with internal management issues and the economic fallout from the COVID-19 pandemic.

WeWork, a shared workspace startup, was once valued at $47 billion, but its valuation has since plummeted to less than $10 billion. SoftBank had invested over $10 billion in the company, but its inability to go public in 2019 led to a significant loss for the Vision Fund.

Uber, the ride-hailing giant, has also struggled to live up to its initial hype. Although the company has grown significantly in recent years, it has not yet turned a profit. SoftBank had invested $7.7 billion in the company, but its stake is now worth less than half that amount.

In addition to these high-profile investments, the Vision Fund has also faced significant challenges with other companies in its portfolio. The COVID-19 pandemic has had a significant impact on many of its investments, particularly those in the travel and hospitality industries.

Despite these challenges, SoftBank remains committed to the Vision Fund and its high-risk, high-reward investment strategy. The company is reportedly planning to launch a new $30 billion Vision Fund, which will focus on investments in artificial intelligence and other cutting-edge technologies.

SoftBank’s CEO, Masayoshi Son, has been outspoken about his belief in the transformative power of technology. He has predicted that artificial intelligence will become more important than electricity in the coming decades, and has said that he believes the Vision Fund will play a key role in driving this transformation.

While the Vision Fund has certainly faced significant challenges in recent years, it remains a major player in the world of tech investing. SoftBank’s financial resources and Masayoshi Son’s vision and leadership are likely to ensure that the fund continues to make bold, high-risk investments in the years to come.