Business & Markets

China Blocks SoftBank’s ABB Robotics Acquisition in China, ABB Confirms

ABB confirms China has prohibited SoftBank’s acquisition of its local robotics business, putting a regulatory obstacle in the $5.375 billion deal.

By Rachel Whitman | Edited by Kseniia Klichova Published: Updated:
China Blocks SoftBank’s ABB Robotics Acquisition in China, ABB Confirms
China has prohibited SoftBank’s acquisition of ABB’s robotics business in China as talks on the transaction continue. Photo: ABB

Key Notes

  • ABB says China’s foreign-investment security review office has prohibited SoftBank’s acquisition of the ABB Robotics business in China.
  • The planned division sale was agreed in October 2025 at an enterprise value of $5.375 billion and remains subject to regulatory approvals.
  • ABB says it and SoftBank remain in close dialogue and are working on the transaction, leaving the next steps for the wider deal open.

China has prohibited SoftBank’s acquisition of ABB’s robotics business in China, ABB confirmed on November 5, creating a regulatory obstacle for the Japanese group’s $5.375 billion takeover of the division. ABB says the companies remain in close dialogue and are continuing to work on the transaction.

The Swiss industrial group said SoftBank informed it of the decision by China’s Office of the Working Mechanism for Foreign Investment Security Review. SoftBank manages the regulatory-approval process for the deal, which remains subject to approvals and customary closing conditions, according to ABB’s statement.

A Regulatory Obstacle for a Major Robotics Deal

The development puts the China business at the center of a transaction intended to combine an established industrial robotics supplier with SoftBank’s AI investment strategy. ABB’s confirmation establishes the scope of the prohibition, while its reference to continuing discussions leaves the companies’ next steps open.

For robotics customers, ownership changes can influence long-term investment priorities, software integration and how a supplier expands its product portfolio. Existing factory installations also rely on service organizations and local engineering expertise, making the geographic structure of a global robotics business an important part of any acquisition.

The Acquisition Was Agreed in October 2025

ABB agreed to sell its Robotics division in October 2025 at an enterprise value of $5.375 billion, replacing its earlier plan to spin the business off into a separate listed company. The original timetable anticipated completion in mid-to-late 2026, subject to the required approvals.

SoftBank’s acquisition announcement set out a strategy of combining ABB’s robotics platform, expertise and footprint with its existing robotics-related investments. The proposed purchase therefore represents a route into industrial automation at established scale, alongside investments in newer robot and AI companies.

Industrial Robots Remain Central to Physical AI

ABB’s commercial activity spans both robot hardware and emerging software capabilities. RobotsBeat recently covered its IRB 1700 robots and a physical AI trainer for fashion logistics. Those developments illustrate the engineering and customer applications underpinning the business SoftBank wants to acquire.

The next transaction update will need to explain how the companies intend to address the Chinese prohibition and what that means for the wider agreement. ABB’s latest statement confirms that regulatory intervention has become an immediate issue for the sale, with the parties still discussing the transaction.

Disclaimer: RobotsBeat is an independent media brand owned and operated by NuvexMedia LLC, publishing news, research, and insights on artificial intelligence, emerging technologies, automation, and related industries. NuvexMedia LLC invests in and collaborates with companies across the AI, Robotics, technology, software, and digital innovation sectors. These relationships do not influence RobotsBeat's editorial coverage, and the publication maintains full editorial independence to provide accurate, timely, and objective information. © 2026 NuvexMedia LLC. All rights reserved. This content is for informational purposes only and should not be considered legal, tax, investment, financial, or other professional advice.

Business & Markets, News, Policy & Regulation, Robots & Robotics