• 01 Jan, 2026

The deal would value the robotics foundation model developer at $14 billion, nearly tripling its previous valuation as big tech bets on the 'universal brain' for robots.

TOKYO/SANTA CLARA - In a move that signals a massive shift of capital toward physical AI applications, SoftBank Group and Nvidia are reportedly in advanced negotiations to lead a funding round exceeding $1 billion for Skild AI. According to reports emerging on December 8, 2025, this investment would value the robotics software company at approximately $14 billion, marking a significant escalation in the race to develop foundational intelligence for machines.

The deal, which sources suggest could be finalized before the end of the year, underscores the growing conviction among global tech giants that the next frontier of artificial intelligence lies not just in chatbots, but in the "brains" that power autonomous robots. If completed, the transaction would nearly triple Skild AI's valuation from its previous standing, highlighting the explosive demand for general-purpose robotic intelligence.

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Anatomy of a Mega-Deal

According to Reuters and sources familiar with the matter, the funding round is expected to surpass $1 billion. SoftBank, the Japanese investment conglomerate known for its aggressive bets on the future of technology, and Nvidia, the world's leading AI chipmaker, are positioning themselves as the lead investors. A term sheet reviewed by Reuters indicates the valuation is set at roughly $14 billion.

This valuation represents a dramatic surge for Skild AI. As noted by Sri Lanka Guardian and other outlets, the company was previously valued at $4.7 billion. The jump to $14 billion reflects a broader market trend where investors are paying premiums for companies that promise to solve the complexities of real-world interaction, rather than just text or image generation.

The Quest for a "Universal Brain"

Skild AI's soaring valuation is driven by its ambition to create a "universal brain" for robots. Unlike traditional robotics programming, which is often rigid and task-specific, Skild AI focuses on building foundation models-large-scale AI systems trained on vast amounts of data-that allow robots to adapt to various environments and tasks.

"Skild AI wants to fix [the fragmentation of robotics]... That idea is ambitious enough that SoftBank and Nvidia are reportedly preparing to back it with more than $1 billion." - Techloy

By developing software that acts as a generalized operating layer for hardware, Skild AI aims to do for robotics what OpenAI did for natural language processing. This approach appeals directly to Nvidia, whose hardware is the backbone of modern AI training, and SoftBank, which has a long history of investing in robotics through its Vision Fund.

Strategic Implications for Tech Titans

For Nvidia, this investment is a strategic alignment. As reported by TipRanks, Nvidia is looking to deepen its footprint in the "robot brain" sector. The chipmaker has been aggressively expanding its ecosystem to ensure its GPUs remain central to physical AI, not just digital AI. Investing in the leading software provider for robotics ensures Nvidia's hardware remains the industry standard for training these complex physical models.

For SoftBank, this marks a continued revitalization of its investment strategy. After navigating a volatile period in the tech market, the conglomerate is doubling down on AI. TechCrunch reports that this deal would be one of the most significant late-stage investments in 2025, reinforcing SoftBank's influence in the deep tech sector.

Market Impact and Future Outlook

The sheer size of this potential investment signals a "robotics revolution," as described by Capacity Media. It suggests that the industry is moving past the experimental phase and into commercial scaling. A $14 billion valuation places Skild AI among the most valuable private AI companies globally, creating a high bar for competitors.

However, high valuations bring high expectations. Industry analysts will be watching closely to see if Skild AI can deliver on the promise of a general-purpose robotic brain-a technical challenge that has historically stumped researchers. The ability to transfer learning from simulation to the real world (Sim2Real) remains a critical hurdle.

According to Times of AI, talks are progressing toward a possible "Christmas close," meaning the deal could be officially announced within weeks. If finalized, this capital injection will likely fuel a hiring spree and accelerate the deployment of Skild's models into manufacturing, logistics, and perhaps eventually, consumer robotics.

Zara Kamal

Singaporean reviewer covering software tools, productivity apps & automation.

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