The logo of Japanese company SoftBank Group is seen outside the company’s headquarters in Tokyo on January 22, 2025.
Kazuhiro Nogi | Afp | Getty Images
Shares of SoftBank Group plunged as much as 9.17% Wednesday, as technology stocks in Asia declined, tracking losses in U.S. peers overnight.
The Japanese tech-focused investment firm saw shares drop for a second consecutive session, following its announcement of a $2 billion investment in Intel. Intel shares rose 6.97% to close at $25.31 Tuesday stateside.
SoftBank Group shares
Other Japanese tech stocks also declined, with semiconductor giant Advantest falling as much as 6.27%. Meanwhile, shares in Renesas Electronics and Tokyo Electron were last seen trading 2.46% and 0.75% lower, respectively.
Technology companies in South Korea, Taiwan and Hong Kong, also fell after U.S. tech stocks dropped overnight spurred by declines in artificial intelligence darling Nvidia‘s shares overnight.
U.S. Commerce Secretary Howard Lutnick is considering the federal government taking equity stakes in semiconductor companies that get funding under the CHIPS Act for building plants in the U.S, sources familiar with the matter told Reuters. The U.S. CHIPS and Science Act seeks to boost the country’s semiconductor industry, scientific research and innovation.
Shares of Taiwanese chip company TSMC and manufacturer Hon Hai Precision Industry — known globally as Foxconn — declined 1.69% and 2.16%, respectively. TSMC manufactures Nvidia’s high-performance graphics processing units that help power large language models, while Foxconn has a strategic partnership with Nvidia to build “AI factories.”
Meanwhile, South Korean tech stocks mostly fell with shares of chipmaker SK Hynix down 3.33%. Samsung Electronics, however, rose 0.75%.
TSMC, Samsung and SK Hynix are among companies that have received funding under the CHIPS Act.
Over in Hong Kong, the Hang Seng Tech index lost 0.87% in early trade.
The worst performing stocks on the index were Kuaishou Technology which declined 4.8%, JD Health International which dropped 3.31% and Horizon Robotics which lost 2.29%.
Losses were also seen tech majors Alibaba Group, down 1.44%, and Xiaomi Corp that lost 1.34%.