ABB’s Strategic Shift Toward Core Automation
ABB’s decision to sell its Robotics division to SoftBank Group for $5.375 billion reflects a calculated strategic pivot. As an industrial automation engineer, I view this as ABB doubling down on its strengths—electrification and process automation—while enabling faster innovation in its remaining business units. This move allows ABB to streamline resources toward sectors with long-term growth, particularly digital power management and smart manufacturing systems.
SoftBank’s Bold Bet on “Physical AI”
SoftBank’s acquisition aligns perfectly with its vision of merging artificial intelligence with robotics. Chairman Masayoshi Son’s idea of “Physical AI” represents the next major leap — machines that think, learn, and act autonomously in real-world environments.
From my perspective, this merger could accelerate the creation of AI-empowered robots capable of predictive decision-making, enhancing productivity and safety across industries.
Impact on the Global Robotics Ecosystem
ABB Robotics, employing around 7,000 people and generating $2.3 billion in 2024, has long stood as a benchmark in industrial and collaborative robotics. Its integration into SoftBank’s AI ecosystem could redefine how robotics interacts with data intelligence. I believe this convergence will bridge traditional automation and adaptive AI, forming a new class of cognitive industrial systems.
ABB Refocuses for the Next Industrial Phase
Post-divestment, ABB will reorganize into three business areas, moving Machine Automation under the Process Automation segment. This restructuring signals ABB’s intention to lead in smart, connected control solutions. As an engineer, I see this as ABB positioning itself for the Industry 5.0 era, where human-machine collaboration will rely more on software intelligence than mechanical automation.
A New Era of Intelligent Automation
The ABB–SoftBank deal embodies a broader industrial transformation: AI-driven robotics replacing traditional programming-based automation. Europe’s manufacturing and semiconductor industries stand to benefit from new partnerships and data integration strategies.
In my view, this transition marks the dawn of a “thinking automation” age—where machines not only execute but also adapt, learn, and innovate alongside humans.
