Japanese tech-giant SoftBank Group Corp announced that it is set to invest around $1 billion in US space start-up OneWeb.
In a statement SoftBank Group Corp founder Masayoshi Son said it is just the initial step in a pledge made to US President-elect Donald Trump about US investment.
Florida-based OneWeb is operating on satellites that will help spread faster internet to developing countries.
Meanwhile this investment Softbank will give it a 40% stake in the Florida-based firm, making it the largest shareholder. The deal will result to create more than 3,000 jobs. OneWeb, which is a competitor of Elon Musk’s SpaceX, is now likely to be worth around $2.5 billion following its latest funding round. It also received injection of another $200 million from existing investors including Airbus, Virgin, India’s Bharti and chipmaker Qualcomm
Recently Mr. Son had a meeting with Mr. Trump in which he vowed to inject $50 billion into US trades and create 50,000 jobs over the next four years.
“SoftBank has a long history of investing in disruptive, foundational technologies that promise to help us realize the future sooner,” Mr. Son said in a statement.
“OneWeb is a tremendously exciting company poised to transform internet access around the world. America has always been at the forefront of innovation and technological development and we are thrilled to be playing a part in continuing to drive that growth as we work to create a truly globally connected ecosystem.”
Furthermore Mr. Son who is famous for keeping an eye for potentially transformative industries and trends. He was one of the early investor in Alibaba and saw the potential in e-commerce before anyone else did.
Moreover in the summer SoftBank Group Corp takeover UK technology firm ARM Holdings for reported $32 billion.