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Trump: SoftBank Will Invest $50 billion in U.S., Create 50,000 Jobs

posted by Breanna Khorrami 0 comments
Trump: SoftBank Will Invest $50 billion in U.S., Create 50,000 Jobs - CitizenSlant
President-elect Donald Trump, accompanied by SoftBank CEO Masayoshi Son, speaks to members of the media at Trump Tower in New York, Tuesday, Dec. 6, 2016.

On Tuesday, President-elect Donald Trump announced that Japan’s Softbank has agreed to invest $50 billion in the U.S., and is aiming to create up to 50,000 jobs.

The announcement came after Trump met at Trump Tower with Softbank CEO Masayoshi Son, a Japanese billionaire and technology investor. On Twitter, Trump claimed that Mr. Son said he “would never do this” if Trump had not won the presidential election.

Son told pool reporters that the funding would go to “new companies, startup companies in the United States.” The Japanese billionaire is developing a $100 billion technology fund with the government of Saudi Arabia. However, it is not clear whether that would be part of the U.S. investment.

“We were talking about it, and then I said I’d like to celebrate his presidential job” because Trump will advocate deregulation, Son told reporters following the meeting.

Softbank and Saudi Arabia’s Public Investment Fund unveiled their new venture in October, with Softbank saying that it will invest $25 billion, while its Saudi partner committed to $45 billion. The two have been talking to other investors about the remaining $30 billion. At the time of the announcement, Son said that he planned on being the biggest investor in technology over the next decade.

Son’s company is the parent of the number 4 U.S. wireless operator, Sprint Corp., which it purchased in 2013. A year later, he considered buying T-Mobile, but abandoned the deal when officials at the U.S. Federal Communications Commission and the Justice Department signaled that they were against a merger. The Trump administration is seen as far more likely to approve such a deal.

While based on his stated goal regarding technology investments, it was all but certain that Son would be investing the $50 billion in the tech-heavy U.S. market regardless of Trump, he most likely tailored his announcement in order to help ‘grease the wheels’ on the telecommunications merger that he abandoned just two years ago.

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