SoftBank’s planned joint venture with OpenAI, SB OpenAI Japan, which is intended to deliver AI services to corporate clients in Japan, has been delayed from its original schedule.
The venture was expected to be established in summer 2025, specifically by July end according to SoftBank’s telecom unit CEO, Junichi Miyakawa.
However, as of mid-September 2025, sources familiar with the matter say preparations are taking longer than anticipated. An update on progress is expected by November 2025.
Background: What SB OpenAI Japan Is
Here’s what was planned when the joint venture was first announced:
- Name: SB OpenAI Japan; a 50-50 joint venture between OpenAI and a SoftBank-entity (a company formed by SoftBank Group Corp. and SoftBank Corp’s telecom unit).
- Product/Service: The venture will market Cristal Intelligence, an enterprise-grade AI agent service, customized for large Japanese firms. It will integrate with their internal systems, handle workflows, documents, etc.
- SoftBank’s internal use: It was to be deployed across SoftBank group units as well, automating large numbers of workflows internally.
- Financial commitment: SoftBank committed to spending about $3 billion per year to use OpenAI technology (including this joint venture) across its operations and for marketing Cristal in Japan. CNBC
Reasons for Delay & What Is Known
- Complexity of preparations: The launch involves integration, product discussions, structuring of ownership, scope of services, internal coordination between SoftBank units and OpenAI.
- Scope of product offerings still under discussion: What exactly will be offered, what customization and security guarantees for enterprises, how data will be handled—all still being worked out.
- Ambiguous timelines: Originally July 2025 was targeted; now the update is expected by November.
Implications of the Delay
- For SoftBank & OpenAI Strategy: The delay might modestly impact their ability to gain enterprise traction in Japan in the near term, especially as competing AI providers intensify efforts. Preparing properly is essential though, since premature launch without adequate readiness can hurt reputation.
- For Japanese Enterprises: Potential customers will need to wait longer for local, enterprise-tailored AI solutions with strong data and system integration support. Companies might meanwhile evaluate other vendors or internal solutions.
- For Investors and Market Expectations: SoftBank had made bold statements about this JV, and delays could lead to scrutiny of execution capability. On the other hand, properly managing delays might ensure a more robust product.
- For Regulation, Security & Localization: Japan has strong data protection laws and enterprise expectations. Delays could be connected to ensuring compliance, localization, certification, security measures.
What to Watch Next
- November update: The expected progress report will be a key signal — whether they propose a new launch date, indication of readiness, or sticking points.
- How SoftBank addresses product scope: What specific AI agent features, privacy/data handling, customization services are finalized.
- Competitive moves: Whether other AI firms will try to capture enterprise customers in Japan while this JV gets delayed.
- Regulatory & infrastructure readiness: Power, data center capacity, cloud infrastructure, data security compliance, etc., which may contribute to the delay.
Conclusion
The SB OpenAI Japan venture’s delay underscores how setting up enterprise-AI operations — even with well-capitalized partners — involves more than just announcing intentions. Technical, regulatory, operational, and product design challenges can extend timelines. The upcoming update in November will likely clarify how far the venture has progressed and what the new roadmap looks like.
