Chinese regulators have rejected SoftBank Group’s attempted $5.4 billion purchase of ABB’s robotics division, ABB has stated. This blocks a deal that sits at the center of SoftBank founder Ma
Chinese regulators have rejected SoftBank Group’s attempted $5.4 billion purchase of ABB’s robotics division, ABB has stated. This blocks a deal that sits at the center of SoftBank founder Masayoshi Son’s bet on AI and physical automation.
ABB said SoftBank had been told that Chinese regulators would not approve its purchase of the company’s robotics business in China. The deal was signed in October 2025 and valued the unit at $5.375 billion. SoftBank was also responsible for securing regulatory approval.
According to the Financial Times, which first reported the decision citing several people familiar with the matter, China’s National Development and Reform Commission had informed the Japanese conglomerate that the deal would not go through.
ABB added that both companies were still in talks and will continue attempts to move the deal forward. SoftBank is also looking into why China blocked the deal and whether it can apply for approval again.
Neither company has officially called the deal off. However, China’s decision has raised doubts about whether it will go ahead as planned.
ABB has about 110,000 employees worldwide and is listed on the SIX Swiss Exchange and Nasdaq Stockholm. The sale was meant to let ABB focus on its electrification and automation businesses while giving SoftBank a foothold in the industrial robotics market.
The rejection is a setback for Son’s plan to bring AI and robotics together. SoftBank had hoped the ABB business would help to expand its work in physical AI.
SoftBank shares fell about 5% on Thursday, according to Yahoo Finance. The Nikkei 225 saw a drop of 0.5%. The stock also faced pressure from a fall in Arm Holdings shares. This came after the chipmaker issued a weaker-than-expected outlook, with investors pulling back from AI and tech stocks.
This is not the first time China has stepped in to block a deal involving sensitive technology. Nikkei Asia noted that Beijing recently blocked Meta’s $2 billion purchase of AI startup Manus after a security review.
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