SoftBank’s planned $5.4 billion acquisition of ABB’s robotics division has encountered a major regulatory obstacle after Chinese authorities blocked the transaction, according to reports published on November 5.
The proposed deal would transfer ABB Robotics, one of the world’s largest industrial robot manufacturers, to the Japanese investment group. Announced in October 2025, the agreement was intended to expand SoftBank’s position in physical AI and industrial automation. ABB’s robotics business supplies robots and automation systems to manufacturers across the automotive, electronics and other industrial sectors.
China’s intervention matters because ABB Robotics has significant manufacturing operations and customers in the country. The division operates a major robot factory in Shanghai, and regulatory approval is necessary for the transaction to proceed. According to reporting by Reuters and Bloomberg, the Chinese authorities have blocked the acquisition in its current form, while SoftBank and ABB continue to explore possible solutions.
The companies have not announced a revised transaction structure or a new timetable for completion. The reported decision does not necessarily mean the acquisition has been permanently abandoned, but it introduces uncertainty over whether SoftBank can complete the deal on its original terms.
For SoftBank, ABB Robotics would provide an established industrial hardware business alongside its investments in AI and robotics. ABB’s installed base, manufacturing expertise and customer relationships are different from those of younger humanoid developers, many of which are still working toward large-scale commercial deployment.
The regulatory dispute also highlights how cross-border ownership of advanced robotics businesses can be affected by industrial policy and national security concerns. China is both a major market for industrial automation and an important manufacturing base for robotics hardware.
The next development will depend on whether the companies can address regulators’ objections. Until then, the acquisition remains unresolved, and ABB Robotics continues to operate within ABB.
