SoftBank Forms AI-powered Warehouse JV with Symbotic, Invests $100m, Japan

SoftBank Group and warehouse automation company Symbotic are teaming up to establish a joint venture called GreenBox Systems, with the aim of constructing AI-powered warehouses. SoftBank, the Japanese technology investor, will hold a majority stake in the venture, which involves an investment of $100 million. Notably, the new unit has inked a $7.5 billion contract to purchase AI-powered systems from Symbotic over the next six years. Symbotic, known for its robotics warehouse automation solutions, has Walmart as its main supporter and customer. The JV seeks to attract customers interested in the warehouse-as-a-service model, which enhances flexibility in multi-tenant facilities across the supply chain. With SoftBank holding a 65% stake and Symbotic owning the remainder, it is expected that the annual recurring revenue generated from software, parts, and services provided to the JV will exceed $500 million once operational. Symbotic reported revenue of $593.3 million for the fiscal year 2022, marking a 136% year-on-year growth, but also reported a loss of $139.1 million.