Strategic AI Infrastructure Consolidation: Why SoftBank's DigitalBridge Acquisition Could Reshape the Landscape

The global AI infrastructure race is accelerating, and SoftBank Group Corp.'s rumored acquisition of DigitalBridge Group Inc. could mark a pivotal moment in this evolution. As artificial intelligence demands surge, the strategic alignment between SoftBank's AI ambitions and DigitalBridge's digital infrastructure portfolio presents a compelling case for consolidation. This analysis explores the rationale behind the potential deal, the valuation upside, and the broader implications for the AI infrastructure market.

Strategic Rationale: Bridging AI Demand with Physical Infrastructure

DigitalBridge, a private equity firm managing $108 billion in digital infrastructure assets, has positioned itself at the forefront of AI-ready infrastructure. Its recent $11.7 billion fundraising for DigitalBridge Partners III underscores investor confidence in its focus on hyperscale data centers, fiber networks, and tower infrastructure-critical components for AI and cloud computing. The firm's partnership with KT Corporation to develop AI data centers in South Korea further cements its role in emerging AI hubs.

SoftBank's interest in DigitalBridge aligns with its broader repositioning under founder Masayoshi Son, who has shifted focus from consumer-centric ventures to AI infrastructure. The Japanese conglomerate's $500 billion Stargate initiative, a collaboration with OpenAI and Oracle, highlights its commitment to dominating the AI era. Acquiring DigitalBridge would grant SoftBank immediate access to high-conviction assets like Vantage Data Centers and Switch, which are essential for powering AI workloads.

Valuation Upside: A Premium for Strategic Fit

DigitalBridge's stock has already reflected market speculation, surging 44% in premarket trading on December 29, 2025, closing at $20.10 per share. Analysts project a significant premium if the deal materializes. JPMorgan's Richard Choe estimates a buyout value of $25–$35 per share, with $28 as a base case under 2026 projections and potential for $30s under 2027 assumptions. RBC Capital raised its price target to $23, citing DigitalBridge's AI infrastructure exposure and acquisition speculation.

The current market capitalization of $2.54 billion and enterprise value of $3.8 billion suggest room for appreciation. SoftBank's willingness to pay a premium is further supported by its $22.5 billion AI investment fund and asset sales, such as its $5.8 billion Nvidia stake. The acquisition would not only expand SoftBank's infrastructure scale but also align with its Stargate project, creating synergies in AI-driven data center operations.

Implications for the AI Infrastructure Market

The deal would accelerate consolidation in the AI infrastructure sector, where demand for power-entitled data centers is outpacing supply. DigitalBridge's global footprint-spanning North America, Europe, and Asia-Pacific-positions SoftBank to capitalize on regional AI growth, particularly in South Korea, a hub for next-generation infrastructure.

For investors, the acquisition represents a high-conviction bet on AI's long-term trajectory. DigitalBridge's existing partnerships, such as its MOU with KT Corporation, demonstrate its ability to execute on large-scale AI projects. Meanwhile, SoftBank's financial muscle and strategic vision provide a catalyst for unlocking DigitalBridge's full potential.

Conclusion: A Win-Win for AI's Future

SoftBank's potential acquisition of DigitalBridge is more than a strategic move-it's a calculated response to the AI infrastructure boom. By combining DigitalBridge's physical assets with SoftBank's financial and technological resources, the deal could redefine the competitive landscape. For investors, the valuation upside and sector tailwinds make this a compelling opportunity to watch.