ABB Sells Robotics Division to SoftBank in a $5.4 Billion Deal

Swiss industrial engineering group ABB has agreed to sell its Robotics division to SoftBank Group for about $5.375–$5.4 billion, abandoning earlier plans to spin off that division as a separate public company. The deal is part of a broader strategy by both firms to deepen their presence in robotics and artificial intelligence.

The Robotics division generates around $2.3 billion in annual revenue (2024), which is about 7% of ABB’s total, and has approximately 7,000 employees globally. While it has shown a respectable operational EBITA margin (around 12.1%), sales and profitability have been weakening. ABB said the robotics business had “limited synergies” with its other core segments of electrification and automation.

The transaction will bring an immediate pre-tax book gain of about $2.4 billion for ABB, with expected net cash proceeds of roughly $5.3 billion after transaction costs. ABB also anticipates about $200 million in separation costs and local business carve-out cash tax outflows estimated between $400–$500 million. The Robotics unit will be reported as a “discontinued operation” from the fourth quarter of 2025, and ABB will reorganize parts of its automation reporting structure.

SoftBank CEO Masayoshi Son described the acquisition as part of a push into what is being dubbed “Physical AI,” where robotics, AI, and next-generation computing converge. ABB’s leadership, including Chairman Peter Voser and CEO Morten Wierød, expressed confidence that the deal will allow ABB to sharpen its focus on electrification and automation while giving the robotics division a stronger home under SoftBank. The transaction is expected to close in mid-to-late 2026, subject to regulatory approvals and customary conditions.