Masayoshi Son

Early Life and Background

Masayoshi Son was born on August 11, 1957, in Tosu, Saga Prefecture, Japan, as the second of four children. His family is of Korean descent, part of the Zainichi Korean community in Japan. His paternal grandfather moved from Korea to Japan during the Japanese occupation. Son's family originally adopted the Japanese surname Yasumoto due to societal pressures and discrimination against Koreans in Japan, but he later reverted to his original Korean surname, Son. Growing up in a modest household, Son displayed an entrepreneurial spirit from a young age. He was inspired by McDonald's founder Ray Kroc's autobiography, which fueled his ambitions to become a businessman.

At the age of 16, he moved from Japan to the United States, initially settling in San Francisco, California, to pursue his education. This move was driven by his desire to immerse himself in American culture and business environment, which he believed offered greater opportunities for innovation and growth compared to Japan at the time. His early experiences in both Japan and the United States deeply influenced his global perspective and his later business strategies.

Education

Son attended Serramonte High School in Daly City, California, for a period, where he quickly adapted to the American education system. He then enrolled at the University of California, Berkeley, where he pursued a degree in Economics and majored in Computer Science. During his time at Berkeley, Son demonstrated remarkable ingenuity and a knack for identifying market needs. While still a student, he developed and patented an electronic translator, which he sold to Sharp Corporation for a significant sum of money, reportedly around $1 million. He also imported arcade games from Japan, modified them, and then sold them to local businesses, further honing his entrepreneurial skills. He earned his Bachelor of Arts degree in Economics from the University of California, Berkeley, in 1980.

Career

Upon returning to Japan after graduating from Berkeley, Masayoshi Son founded SoftBank in September 1981, initially as a software distribution company. The company's name, 'SoftBank', was derived from 'software' and 'bank', signifying its intent to be a comprehensive information infrastructure provider. Early on, SoftBank quickly expanded into publishing computer magazines and distributing PC software. In 1994, SoftBank went public, marking a significant milestone in its growth. The mid-1990s saw SoftBank make a series of aggressive investments in internet and technology companies, including a substantial stake in Yahoo! in 1995, which led to the creation of Yahoo! Japan, a highly successful joint venture. This period cemented Son's reputation as a prescient investor in the nascent internet industry.

One of his most legendary investments came in 2000 when he invested $20 million in the then-unknown Chinese e-commerce startup Alibaba Group, founded by Jack Ma. This investment eventually grew into one of the most profitable venture capital deals in history, with SoftBank's stake soaring to tens of billions of dollars. SoftBank also ventured into the telecommunications sector, acquiring Vodafone Japan in 2006 and rebranding it as SoftBank Mobile, successfully challenging the established giants NTT DoCoMo and KDDI. In 2013, SoftBank made its largest overseas acquisition by purchasing a controlling stake in Sprint Corporation, the third-largest mobile carrier in the United States, for approximately $21.6 billion. This move aimed to create a global telecommunications powerhouse, though Sprint later merged with T-Mobile US in 2020.

In 2016, SoftBank acquired ARM Holdings, a British semiconductor design company, for $32 billion, highlighting Son's belief in the future of the Internet of Things (IoT). The following year, he launched the SoftBank Vision Fund, a colossal technology-focused venture capital fund, initially raising over $100 billion from investors like Saudi Arabia's Public Investment Fund and Abu Dhabi's Mubadala Investment Company. The Vision Fund aimed to invest in disruptive technologies across various sectors, including artificial intelligence, robotics, and biotechnology, with notable investments in companies like Uber, WeWork, DoorDash, and ByteDance. The fund's performance has been mixed, experiencing both spectacular successes and significant challenges, such as the high-profile struggles of WeWork. Despite these challenges, Son continues to drive SoftBank's strategy of identifying and investing in the next generation of technological innovators globally.

Major Achievements

Masayoshi Son's career is replete with groundbreaking achievements. He founded SoftBank in 1981 and transformed it from a small software distributor into a global telecommunications and internet conglomerate. His strategic investment in Yahoo! in 1995 and the subsequent creation of Yahoo! Japan established his early reputation as a visionary internet investor. The most significant achievement remains his $20 million investment in Alibaba Group in 2000, which grew into a stake worth over $100 billion at its peak, making it one of the most successful venture capital investments ever. He successfully challenged Japan's telecommunications incumbents by acquiring Vodafone Japan and building SoftBank Mobile into a formidable competitor. The establishment of the SoftBank Vision Fund in 2017, the largest technology-focused investment fund in the world, marked a new era of global technology investment, solidifying SoftBank's position as a major force in shaping the future of technology.

Personal Life

Masayoshi Son is married to Masami Ohno. They have two daughters. He is known for his intense work ethic and his visionary, often audacious, approach to business. Despite his immense wealth, he maintains a relatively private personal life. Son is also a philanthropist, notably pledging 10 billion yen (approximately $120 million) of his personal fortune and his remaining salary until his retirement to aid victims of the 2011 Tohoku earthquake and tsunami. He also established the Tohoku Future Fund to support long-term recovery efforts in the affected region. His family's background as Zainichi Koreans has given him a unique perspective on identity and global business, often emphasizing a borderless approach to technology and investment.

Legacy

Masayoshi Son's legacy is defined by his unparalleled foresight in technology investments and his transformative leadership of SoftBank. He is often called the 'Bill Gates of Japan' or the 'Rupert Murdoch of Japan' due to his early success in software and media. His bold, often contrarian, investment philosophy has shaped the global technology landscape, backing companies that have become household names and disrupting traditional industries. He championed the belief that information revolution would transform society, and his investments in the internet, mobile communications, and artificial intelligence reflect this conviction. His creation of the SoftBank Vision Fund demonstrated a new model of large-scale, long-term technology investment. While some of his ventures have faced criticism and challenges, particularly regarding valuation and governance, Son's influence on the venture capital and technology industries is undeniable. He has inspired a generation of entrepreneurs and investors to think big, take calculated risks, and embrace a global perspective, leaving an indelible mark on the future of innovation.