Marina Lyubimova
● SoftBank was Nvidia's biggest shareholder until 2019, when it dumped the entire position for around $3.9 billion. Fast forward to today, and that same stake would be worth close to $250 billion — a staggering 64x return that captures just how dominant Nvidia has become during the AI boom.
● This decision shows how tough it is for big investors to balance immediate concerns with long-term tech bets. SoftBank sold to clean up its balance sheet and boost liquidity after a rough patch in tech markets. But the move highlights the danger of bailing out too soon, especially in fast-moving sectors where innovation is taking off. Analysts point out that when investment firms walk away from emerging tech before it matures, it can lead to poor capital allocation and even brain drain.
● The numbers are brutal. By exiting early, SoftBank missed out on roughly $246 billion in gains. That's not just a hit to corporate returns — it also means lost tax revenue for Japan. Some experts believe better long-term capital gains incentives could keep major investors locked into breakthrough companies like Nvidia, supporting both innovation and stable tax income.
● Nvidia went from making gaming chips to becoming an AI and data-center powerhouse, completely reshaping global markets. Its explosive growth has created thousands of well-paid jobs and pumped up corporate and income tax revenues worldwide. Economists argue that smart fiscal policy aligned with innovation sectors could unlock revenue growth similar to Nvidia's exponential rise.
Marina Lyubimova
