SoftBank in Talks to Buy Majority Stake in Humanoid Maker 1X at $6 Billion Valuation

SoftBank is in talks to buy a majority stake in 1X Technologies, an OpenAI-backed humanoid robot developer, in a deal that would value the startup at about $6 billion, according to people with knowledge of the deal.

The investment would buttress SoftBank’s robotics ambition. The investment would also give 1X more runway to put its soft-bodied bots in customers’ homes, where they aim to help with chores. The 12-year-old startup tried last fall to raise $1 billion at a $10 billion valuation, but it only raised less than half that target, according to two people with knowledge of the fundraise.

The talks are ongoing, and the terms could change.

The deal discussions underscore continued interest in humanoids despite the steep costs and incredible challenges in getting AI-powered robots to think, act and safely move like humans. SoftBank CEO Masayoshi Son, a longtime investor and owner of robot developers, has predicted robotics and artificial intelligence paired with physical devices would yield the next $1 trillion company.

“SoftBank’s next frontier is physical AI,” said Son last year.

In another sign of that interest, OpenAI and 1X last year discussed the possibility of OpenAI acquiring the robot maker, but the talks fell apart, according to people familiar with them.

OpenAI has discussed developing a humanoid robot, but the work has been overshadowed by the development of AI-powered devices that will include a smart speaker with former Apple chief designer Jony Ive, whose startup it bought last year. OpenAI’s robotics head Caitlin Kalinowski quit in March over concerns that OpenAI rushed into its deal with the Department of Defense.

In June, OpenAI CEO Sam Altman told a group of Y Combinator startups that he is enthusiastic about humanoid robots due to their potential to accelerate the construction of data centers, according to a person who heard the remarks.

OpenAI invested in 1X in 2023 out of its OpenAI Startup Fund designed to support young startups and give them access to early versions of its models.

Softbank’s Son for years has identified robotics as a key pillar of an AI-driven world. Some of his early bets on the technology did not pan out, however. SoftBank stopped production of its humanoid Pepper in 2020 and the following year it sold 80% of its stake in Boston Dynamics, which makes robotic humanoids, dogs, and industrial arms. (SoftBank sold all its remaining shares in Boston Dynamics this July.)

But AI advances have re-energized SoftBank’s interest in the sector. Last October, SoftBank agreed to acquire Swiss automation giant ABB’s robotics division, which makes robotic arms used in manufacturing, in a $5.4 billion deal. SoftBank has also invested in Agile Robots, which introduced an industrial humanoid in November.

In the past two years, it has also discussed acquiring industrial humanoid makers including Agility Robotics, The Information previously reported.

As part of Son’s interest in robotics, SoftBank formed a new venture called Roze AI focusing on AI and robotics, which it aims to take public later this year or early next year.

At the same time, SoftBank has been working on refinancing a bridge loan supporting its OpenAI investment, according to Bloomberg. Its next $10 billion investment will bring SoftBank’s total commitment to $65 billion.

For 1X, a $6 billion valuation would be a step-back from valuation at which it last sold shares, but it would still represent a significant jump from its valuation of $820 million in January 2025— especially since revenue is likely modest. The funding would allow 1X to continue researching AI models, which requires expensive computing resources, and developing its robotic hardware.

In October, 1X began taking $20,000 pre-orders for its svelte robot, Neo, for delivery in 2026. It received over 10,000 orders within the first week, according to 1X, but no robots have yet been delivered to customers.

In January, the company unveiled its world model, an AI model for predicting the next frame of videos that has been adapted to control robots, an approach that has gained traction among roboticists this year. In July, 1X revealed details about its five-fingered robot hands, which uses motors in the forearm to pull “tendons” that run through the wrist and into the fingers.