SoftBank Eyes 1X Robotics Majority Stake at $6B Valuation

SoftBank is reportedly in advanced discussions to acquire a controlling stake in 1X Technologies, a Norwegian-American startup focused on developing humanoid robots for domestic use. The potential transaction values the company at approximately $6 billion, signaling a significant strategic push by the Japanese investment giant into the rapidly evolving field of embodied artificial intelligence.

This move would represent a substantial deepening of SoftBank's commitment to AI, extending its focus beyond software and cloud infrastructure into physical automation. The deal, if finalized, would grant SoftBank significant influence over 1X's trajectory, a company that has garnered attention for its unique approach to general-purpose robotics. Notably, 1X has previously secured investment from OpenAI through its Startup Fund in 2023, alongside backing from Tiger Global and Norwegian investors. Discussions between OpenAI and 1X regarding a potential acquisition were explored last year but did not culminate in an agreement.

The reported valuation of $6 billion marks a notable adjustment from 1X's earlier fundraising efforts. Less than a year prior, the company was reportedly seeking to raise $1 billion at a valuation of $10 billion, ultimately securing less than half of its target. This suggests a recalibration of market expectations or a strategic opportunity for SoftBank to enter at a more favorable entry point, potentially around 40% below its previous valuation target.

1X Technologies, originally founded as Halodi Robotics in 2014, has differentiated itself by prioritizing the integration of its humanoid robots into home environments. Unlike competitors such as Tesla's Optimus or Figure AI, which have largely focused on industrial and factory applications, 1X's flagship robot, NEO, is designed for everyday domestic tasks. This includes activities like laundry folding, meal preparation, and cleaning, with a strong emphasis on safety features to enable operation around people, pets, and furniture.

The company's latest prototype, Neo Gamma, features a softer exterior and a knitted nylon suit, further underscoring its commitment to safe human-robot interaction. 1X has been actively testing these machines in real-world home settings, utilizing teleoperation as a crucial fallback mechanism while advancing towards greater autonomy. This home-centric strategy could prove to be a significant differentiator in a market where industrial robotics is already well-established, but general-purpose robots for widespread domestic use remain largely unproven.

For SoftBank, acquiring a majority stake in 1X aligns with its broader strategy in robotics, which includes the recent $5.4 billion acquisition of ABB's industrial robotics division. By investing in 1X, SoftBank would be placing a substantial bet on the future of domestic robotics, aiming to secure a leading position before the dominant humanoid architecture, AI systems, or business models are definitively established. This strategic move underscores SoftBank's aggressive pursuit of transformative technologies and its willingness to deploy significant capital to shape emerging markets.