SoftBank Group has announced the launch of its battery business in Japan, focusing on meeting the growing power demands of AI data centers. The company plans to develop and manufacture battery cells and energy storage systems at the Nishikatsuragi Sakai facility in Osaka Prefecture, while simultaneously building a large-scale AI data center campus. The business is scheduled to commence operations in the fiscal year 2028, with an expected production capacity in the gigawatt-hour range. Initially, output will prioritize supply to SoftBank’s own AI data centers, with future expansion planned into industrial and residential energy storage markets. SoftBank is collaborating with a South Korean startup to develop new zinc-halogen battery cells using aqueous electrolytes to reduce fire risks, aiming to achieve annual sales exceeding 1 trillion yen by the fiscal year 2030.
Source: AIBase
Recently, SoftBank Group officially launched its battery business in Japan to meet the growing power demands of AI data centers. SoftBank plans to develop and manufacture battery cells and energy storage systems at the former Sharp Sakai factory site in Osaka Prefecture, and will build a large AI data center campus.
According to SoftBank’s plan, the battery business is scheduled to begin operations in the fiscal year 2028, with an expected production capacity in the gigawatt-hour range. Initially, these batteries will be prioritized for use in SoftBank’s own AI data centers, and later will be offered as energy storage solutions for industrial and residential applications, including solar and wind power. Additionally, SoftBank is considering expanding the business into overseas markets.
SoftBank stated that its goal is to achieve annual sales of over 1 trillion yen (approximately RMB 43.382 billion) in its battery business by the fiscal year 2030. As technology companies increasingly demand reliable power supply, the efficiency of battery technology has become crucial—ensuring stable electricity delivery while reducing environmental pressures from the expansion of digital infrastructure.
To this end, SoftBank has partnered with South Korean startup Cosmos Lab to develop a new zinc-halide battery. This battery uses an aqueous electrolyte, eliminating the flammable organic materials commonly found in lithium-ion batteries, thereby reducing fire risk while maintaining high energy efficiency. Raw materials such as zinc and halogen compounds can be sourced domestically in Japan, helping to optimize the local supply chain.
In the field of energy storage systems, SoftBank is collaborating with another South Korean startup, DeltaX, to develop high-capacity energy storage containers integrated with SoftBank’s proprietary energy management technology. DeltaX’s battery technology enables storage capacity of over 5 megawatt-hours within a standard 20-foot container, placing it at the forefront of the industry.
In addition, SoftBank plans to introduce electricity demand forecasting technology to intelligently regulate battery charging and discharging patterns, better aligning with electricity load and renewable energy supply conditions. This strategic move in the battery business represents a significant step in SoftBank’s increased investment in AI infrastructure, encompassing areas such as data centers, servers, and power technologies to meet growing computational demands.