ABB to sell robotics division to SoftBank for 5.4B

ABB has announced it will sell its Robotics division to Japan’s SoftBank Group for an enterprise value of $5.375 billion, a move that underscores the growing momentum in AI-driven robotics. The deal, expected to close in mid-to-late 2026, aims to combine ABB’s industrial automation expertise with SoftBank’s artificial intelligence technologies — driving a new wave of intelligent robotics innovation.

For eeNews Europe readers, this move not only highlights the growing convergence between industrial automation and AI-driven robotics — a space that continues to shape the European manufacturing and semiconductor ecosystem — but also underlines how large tech investors like SoftBank are betting heavily on “Physical AI” to drive next-generation automation.

SoftBank bets on “Physical AI”

The acquisition will see ABB Robotics — one of the world’s top suppliers of industrial and collaborative robots — become part of SoftBank’s broader AI and robotics portfolio. Consequently, the move fits with SoftBank’s ambition to merge robotics with artificial intelligence, an area Chairman and CEO Masayoshi Son described as “the next frontier.”

“SoftBank’s next frontier is Physical AI. Together with ABB Robotics, we will unite world-class technology and talent under our shared vision to fuse Artificial Super Intelligence and robotics — driving a groundbreaking evolution that will propel humanity forward,” said Son.

In addition, ABB said the deal reflects the long-term strength of its robotics business and will deliver immediate value to shareholders. The company expects about $5.3 billion in net cash proceeds after transaction costs and taxes, as well as a non-operational pre-tax book gain of roughly $2.4 billion.

ABB refocuses on electrification and automation

Following the divestment, ABB will reorganize its structure into three business areas. From Q4 2025, the Robotics division will be reported as discontinued operations, while the Machine Automation division will move under the Process Automation business area.

ABB Chairman Peter Voser said the board compared SoftBank’s offer with the original spin-off plan and concluded the deal provided stronger shareholder value. “SoftBank’s offer has been carefully evaluated by the Board and Executive Committee and compared with our original intention for a spin-off. It reflects the long-term strengths of the division, and the divestment will create immediate value to ABB shareholders,” said Voser.

CEO Morten Wierod emphasized that the Robotics unit would thrive under SoftBank’s AI leadership. “SoftBank will be an excellent new home for the business and its employees,” he said. “ABB and SoftBank share the same perspective that the world is entering a new era of AI-based robotics.”

ABB Robotics currently employs around 7,000 people and generated $2.3 billion in revenue in 2024 — about 7% of ABB’s total. The unit has long been a global leader in automation, serving sectors from automotive to electronics.

For the European industrial technology market, ABB’s exit from robotics may open opportunities for new AI partnerships and integration strategies as automation shifts toward intelligent, connected systems.