SoftBank, Kioxia Stocks Slide on AI Caution Calls from Altman, Musk

SoftBank Group's share price fell 13 percent while memory chip manufacturer Kioxia dropped 10 percent in trading, as investor sentiment shifted in response to statements from OpenAI chief Sam Altman and Tesla CEO Elon Musk advocating for greater restraint in advanced AI development.

The declines reflected broader weakness across Asia's AI-linked equities, as market participants reassessed growth expectations for companies heavily invested in artificial intelligence infrastructure and development. The commentary from both technology leaders signaled potential headwinds for rapid AI deployment and scaling, concerns that rippled through regional stock markets.

SoftBank, which maintains significant exposure to AI ventures through its Vision Fund operations, bore the brunt of the selloff. Kioxia, a major supplier of memory chips critical to data center and AI computing infrastructure, was similarly impacted as investors weighed implications for semiconductor demand.

The market movement underscores sensitivity among Asia-Pacific investors to narratives surrounding AI development pace and regulation. Comments advocating for caution in frontier AI research triggered recalibration of risk assessments for technology stocks positioned to benefit from accelerated AI adoption.

Analysts noted the volatility reflected uncertainty over the trajectory of AI investment and deployment across the region, with broader implications for tech sector valuations and capital allocation strategies in coming months.