CEO of Japanese telecom SoftBank says company will bring $50 billion and 50,000 jobs to US after meeting with Trump
Business Insider by Bob Bryan December 6, 2016
Masayoshi Son, the CEO of Japanese telecom SoftBank, announced Tuesday that his company will be investing $50 billion and bringing 50,000 jobs to the US after a meeting with President-elect Donald Trump.
According to the Wall Street Journal, Son told reporters waiting at Trump Tower that the investment would come from a $100 billion fund created in partnership with the Saudi Arabia sovereign wealth fund and other investors.
SoftBank previously announced a $100 billion tech fund with the Saudis called the SoftBank Vision Fund in October. The fund had not previously detailed where it would invest.
Details on what sort of businesses the fund will invest in or the jobs created were not announced. But Son did show reporters a PowerPoint slide signed by Trump and Son with the vague numbers.
Shortly following the meeting, Trump tweeted the details of the agreement and claimed the deal never would have been done if "we (Trump) not won the election."
Trump and Masayoshi came down from his office in Trump Tower to announce the move to reporters gathered in the lobby of Trump Tower. Trump called Masayoshi "one of the great men of industry" before leaving the Softbank CEO to talk to reporters.
"I just came to celebrate his new job," Son said, according to a pool report. "I said, 'This is great. The US will become great again."
SoftBank is the second-largest telecom by market share in Japan after rival NTT.
The SoftBank move comes just a week after Trump announced a deal with United Technologies to keep 1,100 jobs at its Carrier plant in Indiana.
Following the news, shares of US-based telecom Sprint spiked up just over 4% as of 2:50 p.m. ET. SoftBank owns 83% of Sprint.
Additionally, shares of T-Mobile jumped around 2% after the SoftBank announcement, Son has long targeted the firm for a takeover. Son declined to comment on a possible T-Mobile takeover, which had been quashed due to possible regulatory action, according to the Wall Street Journal.
(So basically this is a deal with Sprint. To bring jobs to America for a company that does a ton of business in America. I know I have Spring service and I want the jobs to be here. Why can't the call centers for example be in the USA. Why do I have to talk to some foreigner when my computer breaks or my cable is out or my phone doesn't work? Give those jobs to Americans. They can be anywhere in the USA.
The implication in the article is that they want to make a deal with the takeover off T-Mobile. We should make the deal if it means jobs. This is way more important than what is happening in Syria. Jobs for Americans. Let the media scoff and the elites poo poo it. The people who get those jobs will not.)
32 comments:
Yuge!
Obvious comment: The media cannot shut up about all of Trump's supposed "conflicts of interest". oh the pearl clutching.
**Media nowhere to found when it came to Hillary's actual conflicts of interest and pay-to-play corruption.**
hard to fathom why we distrust the media.
I think it is particularly interesting that the Saudi's are partnering up to pour some money into the US economy. I think they are walking softly now that Trump is in.
Very interesting.
It does amaze me that countries and individuals are going to invest in America and bring jobs here and the media is going to say it is a bad, bad thing. Yes they are going to do it to curry favor with Trump. So what? Lets take advantage of it and get people some freakin jobs.
This stuff is so easy. Everybody wants to invest here for the market access and stability. They just don't want handcuffed, fleeced and taken advantage of to do it. It's a whole different mindset with a business person in charge. The Dems are going to look on in awe and wonder why they never thought of using business and capitalism to "progress". Dudes, that the way it always happens in the real world. Our whole way of life and standard of living is attributable to one thing: capitalism. It's like work: some like it, some don't, it's not always easy, and it can get messy, but it's the only way anything gets done.
I am not tired of all the winning yet...
Bags is exactly right. You need to use both the carrot and the stick. Trump knows this. He is going to concentrate on this. Bringing in jobs. Starting projects and holding them to a completion date the way he does in his construction projects. He has boundless energy and commitment. You saw it in the campaign. You will see it as President. He will bust balls and jawbone and hector and do whatever it takes to get people jobs. People will notice. It is something they can understand in a visceral way.
You can already feel the difference.
The media and the elite are furious that regular normal Americans are getting jobs. What are they going to do if he goes into the inner city and gets them jobs? Decent jobs in construction or manufacturing. He said he was going to do it and I think he will.
Jobs are the answer to everything.
Strap in boys. It is going to be a very interesting ride.
I thought we were AGAINST increasing the trade deficit?!?
Populist positions opposing fake boogeymen are so confusing!
What does this have to do with the trade deficit?
This is creating jobs in America for Americans. Yes it is a Jap company but the jobs and the money stays here. It is the same deal as when Toyota built car factories in the USA after Reagan set up "domestic content" regulations.
What are you talking about?
Or are you just against jobs for Americans like the liberals, media and the Democrats?
8 years of "you didn't build that".
Love me some American jobs, Troop! I work hard every day to make more.
This deal will bring $50 billion in investment to the US which is, of course, fantastic. But because it's not an import of GOODS, it will directly increase the trade deficit by the same $50 billion. We bought $50 billion in foreign goods, which gave foreigners 50 billion US Dollars to invest here. So should we not allow the investment because it worsens the trade deficit? Cut off our noses to spite our faces?
It just highlights the stupidity of talking about the trade deficit like it, in and of itself, is a bad thing. Imports are the benefits of trade, and exports are the cost. We ALWAYS want to get more than we give. I'm glad to see Mr. Trump is a quick study on the matter!
Astounding this didn't happen in the past 8 years.
Calypso we are talking apples and oranges here. The trade deficit that is driven by manufacturing is the problem. Not financial manipulations although Trump has specifically said he would go after Trumps currency manipulations.
Also what is the foreign goods that you are talking about kemosabe? This is a deal with Sprint which is owned by a Japanese company. Trump never said he would stop foreigners from owning or operating businesses in the United States. He just wants the jobs to be here and held by Americans. This is a win/win and it only came about because they think Trump will let them merge Sprint with the other cell phone carrier which Obama blocked. So his election made it happen.
Like I said win/win.
Now it is a problem when some companies control the economy in a monopoly. Like Amazon. I think we need to sic the Justice department on Jeff Bezo's right away first thing.
" We bought $50 billion in foreign goods, which gave foreigners 50 billion US Dollars to invest here."
Maybe I'm being dense here, but isn't that backwards? They are bringing capital and buying American labor, equipment, supplies, and infrastructure. Sounds more like an export than an import, or actually neither in real terms. Macro economics may see it differently, but it will be American worker product and foreign money buying it to my mind.
We're on the same side of this thing, Trooper. I'm GLAD to see both foreign and US businesses having the confidence to invest again.
But this deal DOES increase the trade deficit (which is just a book reconciliation of goods exported minus goods imported). So my point, which has quickly gone from a witticism to flogged horse, is that bad mouthing the trade deficit in general is silliness, and hopefully Mr.Trump will be more circumspect in talking about it in the future.
Well once again this is where we differ. I don't think he should be circumspect about anything. He should say exactly what he thinks in plain language. On twitter. Without the filtering and spinning of the main stream media. Plain words spoken in public. Just like the Taiwan tweet.
Nuance is for pussies.
Bagoh and Trooper, I'm going back to hypothetical transactions BEFORE this investment. Where did SoftBank get $50 billion US dollars to invest here? From its sales in the US and clients who got paid in US dollars for goods they sent to the US. So we bought $50 billion of foreign goods, and they are now turning around and investing that $50 billion back here. Great! But because we imported GOODS and exported cash, we've increased the trade deficit by $50 billion, EVEN IF THAT MONEY COMES BACK HERE THROUGH DIRECT INVESTMENT.
It's all about jobs. Jobs, jobs, jobs.
I am sure you are making a nuanced clever point about the trade deficit. It escapes me because I am only concerned about jobs for Americans. I want to leave that particulate nit unpicked.
But then I am a dense America first xenophobic populist. At least I have that going for me.
Haha ... I like his out-in-the open style, Troop. His unabashed criticism of the trade deficit has just been more sound-bite than sense. This deal proves it.
Got to run for tonight. We can pick up Macroeconomics 201 another time if you'd like. Ciao!
Amazon is no monopoly. You can buy their stuff from anyone you want, including directly from the companies selling on Amazon. They are just a middle man, whose product is the added value of convenience and speed. You don't have to buy that extra value at all to get the products. It may change if they start manufacturing or importing their own brands, but right now they are less a monopoly than CVS who often is the only outlet for what they sell. When they open their groceries stores, only those of us who want the convenience and speed will use them. Conventional grocery store will still be around, unless we don't want them anymore. Like outhouses.
Wait. Not CVS. I meant QVC. Both have a "V" anyway.
Sometimes things can just be too big. That is the essence of anti-trust brought to us by Teddy Roosevelt who is the American President that I think Trump models himself off of in the real world.
Amazon is more than just a conduit. They have too much of a market share. It is well on its way to monopolizing on-line shopping. It needs to be looked at. Looked at hard.
I think it needs to be broken up like the telephone company was back in the 1970's.
That's a tough case, Amazon. In some ways I agree with Troop's analysis, other ways I don't. I mean, Amazon is brilliant Capitalism, yes in caps. Like Walmart. Though both have done and continue to inflict damage to smaller entrepreneurs. So, I guess my misgiving is, do we punish success, or is that too narrow a view. Many think the USA is too big.
Just trying to stir thoughts is all, it is an interesting dilemma.
I'm still having problems when in blogger preview, can't post from there... page not found. Anyone else?
I don't think that is a clear analogy, AT&T and Amazon. AT&T was for years an approved government monopoly, for numerous reasons. Anyone is free to compete with Amazon. Perhaps the basic problem is the same, though the solution may be entirely different.
A short history of telephone monopoly.
http://som.csudh.edu/cis/lpress/471/hout/telecomHistory/
By this criteria, Troop needs looked at, and maybe broken up.
Apple alone is bigger than all the real monopolies of the past put together, and they still are not a monopoly. I like small companies, but size has nothing to do with it, and many things can't be done small. You would never get a modern smartphone from small companies competing, and if you did, it would cost $10,000. Is a small company going to build a world class jet fighter or aircraft carrier?
I'll tell you one huge monopoly that needs broken up, but I think you want that one to be larger, even though it forces you to buy it's crappy stuff, and kills small companies by the truckload.
Screw Amazon Go grocery stores. I want my order delivered to my house. My bad if they also offer that.
XRay....Same problem with trying to post from a Preview.
Thanks Dad. Not my computer/browser/OS then. A Google fuckup.
Amazon will soon offer you whatever you need, whenever and wherever you need it.
I admit it is scary, that, but it may well be the future.
Though nothing like a personal fit, I get that.
Eventually all work will only be things we like doing, or at least things that those of us around today would consider voluntary. By then, sex will probably be considered drudgery forced upon us by the reproductive military complex. "Get to it citizen soldier, or expect a fine deducted from your citizen's account. You are far below the congressionally mandated quota."
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