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SoftBank Corp. (“SoftBank”) is accelerating its ambitions to establish a major AI Data Center in Japan. On March 14, 2025, the company announced that it has signed a purchase and sale agreement with Sharp Corporation (“Sharp”) to acquire land, buildings, and other assets of the Sharp Sakai Factory in Osaka Prefecture for approximately 100 billion yen ($676 million). The site will be transformed into a large-scale AI data center.
The Need for AI Data Centers
This acquisition is a crucial step for SoftBank as data centers are central to the current AI revolution. Large-scale computing infrastructure is essential for both training AI models and delivering AI-driven services.
SoftBank will utilize approximately 450,000 square meters of land and 840,000 square meters of buildings at the Sakai facility to develop the AI data center. Initial operations will begin with a 150-megawatt power capacity, which will later expand to over 250 megawatts.
AI Development in Japan
SoftBank’s spokesperson, when asked whether this facility would play a role in OpenAI’s expansion in Japan, pointed to the company’s previous announcement regarding a collaboration with OpenAI. The Cristal Intelligence initiative, a joint venture (JV) between SoftBank and OpenAI, aims to introduce advanced enterprise AI solutions tailored for the Japanese market.
OpenAI reportedly plans to develop foundational AI models in Japan, leveraging GPUs at the newly acquired Sakai plant. The SB OpenAI Japan JV is expected to utilize client data for model training and later sell custom AI solutions to businesses, according to reports by Nikkei.
This data center investment further underscores SoftBank’s commitment to AI, expanding its collaboration with OpenAI beyond the U.S. market. OpenAI has already been working with Oracle and other partners to build AI data centers in the U.S.. Meanwhile, SoftBank is reportedly in talks to invest as much as $25 billion in OpenAI, at an estimated $300 billion valuation—though no official confirmation has been made yet.
Future of the AI Data Center
SoftBank’s purchase of the Sakai plant comes nearly a year after signing an MOU (Memorandum of Understanding) to repurpose the facility into an AI data center.
SoftBank plans to use this AI data center for the development of generative AI and other AI-related businesses. Additionally, the company intends to provide computing resources to a broad range of universities, research institutes, and businesses to meet growing demand.
SoftBank is also committed to building a model industrial cluster centered on the AI data center, aiming to use AI to advance multiple industries, including primary industries. As part of its broader vision, SoftBank will promote carbon neutrality by ensuring the data center operates with a low environmental impact.
This facility will be SoftBank’s third data center, joining its existing facilities in Tokyo and an upcoming site in Hokkaido.