According to a CNBC report, SoftBank is investing nearly a billion dollars over the next two years to develop advanced artificial intelligence technologies. This bold move into the future of technology could redefine the landscape of global AI development.

SoftBank, known for its aggressive investment strategies, has long hinted at its interest in generative AI. However, this new initiative marks a significant escalation in its commitment, signaling a major push to develop what could become one of the most essential AI models ever conceived. According to industry insiders, these models currently cost about $100 million to create, but as technology advances, the expenses are projected to soar, potentially reaching up to $10 billion by 2025 or 2026.

The Japanese conglomerate’s move is ambitious, especially considering its high-profile investment wins and losses history. SoftBank’s CEO, Masayoshi Son, has been both lauded and criticized for his investment decisions, which have ranged from highly successful ventures like ARM, the chip company, to more problematic investments like WeWork. His investment strategy, often characterized by its boldness, could face its most significant test yet in the rapidly evolving AI sector, where companies like NVIDIA currently dominate.

Experts continue to debate the future costs of AI development. Some predict that expenses will continue to rise exponentially, while others anticipate that hardware and algorithmic efficiency advancements could lead to more competitive pricing and lower costs. Despite the uncertainties, Son’s track record suggests he is preparing to use the profits from successful ventures, such as the recent public listing of ARM, to fund his new AI ambitions.

Building these advanced AI systems requires significant capital and a pool of talent capable of tackling some of the most complex problems in tech. SoftBank’s foray into creating large language models from scratch is a departure from its typical strategy of acquiring companies. The challenge now is not just the financial investment but also assembling the right team to bring these ambitious AI projects to fruition.

As the AI industry watches closely, SoftBank’s push to pioneer its AI technologies could either set a new standard for what private companies can achieve in this space or serve as a cautionary tale of ambition in the face of formidable competition. Either way, Masayoshi Son’s latest gamble is set to make waves in the tech world, promising to push the boundaries of artificial intelligence further than ever before.