China blocks SoftBank's $5.4B takeover of ABB's robotics division, FT reports
What's the deal? China has told SoftBank GroupDealroom has a profile for this one. Try Dealroom → it will not allow its $5.4 billion acquisition of ABB RoboticsDealroom has a profile for this one. Try Dealroom →, the robotics division of Swiss engineering group ABB, to go ahead, the Financial Times reported early on 5 November, citing several people familiar with the matter. According to the FT, the decision came from the National Development and Reform Commission, China's top economic planner. SoftBank had expected approval until last week and is now trying to work out what went wrong and whether it can apply again.
Why China matters here: China is the biggest market for ABB's robotics business, accounting for around 30% of it. The FT reported that the regulator was concerned about robotics data being transferred overseas, where it could be used to train AI models, including those of OpenAI, in which SoftBank is a major investor. The European Commission cleared the deal without conditions in March, while Chinese and US approvals were still pending.
Context: SoftBank agreed in October 2025 to buy the unit for $5.375 billion, with completion planned for mid-to-late 2026. ABB Robotics has about 7,000 employees and was central to Masayoshi SonDealroom has a profile for this one. Try Dealroom →'s push into what he calls physical AI, alongside SoftBank's stakes in AutoStore, Berkshire Grey, Agile Robots and Skild AI. ABB had originally planned to spin the business off as a separately listed company before accepting SoftBank's offer. SoftBank shares fell about 5% in Tokyo on Thursday, also weighed down by Arm's guidance and the broader AI sell-off. SoftBank, ABB and the NDRC had not commented on the report at the time of writing, and Reuters said it could not immediately verify it.
Why it matters: The block comes months after China stopped Meta's planned $2 billion purchase of Manus AI, and shows that late-stage Chinese reviews are becoming a real risk for cross-border AI and robotics deals, even those between non-Chinese companies.
Read more: Financial Times, Investing.com, SoftBank (original deal announcement), ABB (original deal announcement)
Image: ASEA and ABB industrial robots, Dependability via Wikimedia Commons, CC BY-SA 4.0
