This week’s review covers the major deals, funding rounds, and industry signals shaping the artificial intelligence market as it approaches the end of 2025. Headlines include SoftBank’s $40 billion investment in OpenAI, Meta’s deal to acquire autonomous agent startup Manus, Octopus Energy’s planned spinoff of its AI platform Kraken Technologies, and SoftBank’s separate move to acquire DigitalBridge to expand AI infrastructure capacity.
Beyond the big deals, the week also featured AI Insider’s expert predictions on artificial intelligence, parts one and two, as well as the year in review for robotics funding. Startup activity has remained active, with funding announcements from Moonshot AI, Hypereal AI, Block Security Arena and Aidoptation, while the calendar turns to CES 2026 in Las Vegas as the next big industry gathering.
Industry & Business
SoftBank Completes $40 Billion OpenAI Investment, Secures 10% Stake in Landmark AI Deal
SoftBank Group has completed a $40 billion investment in OpenAI, acquiring just over 10% stake at an estimated pre-money valuation of $260 billion, making it one of the largest investments ever made in an AI platform. Made possible in part by SoftBank’s exit from a $5.8 billion position in Nvidia, the deal signals a strategic shift toward foundational AI software and infrastructure, bolstering OpenAI’s compute expansion and intensifying competition with Google DeepMind and Anthropic. (AI Insider)
Meta Acquires AI Startup Agent Manus in $2 Billion Deal to Accelerate Agentic AI Strategy
Meta Platforms has agreed to acquire Manus, a Singapore-based AI startup, for around $2 billion, valuing the company in line with its planned next funding round after rapid commercial traction, according to reports. Founded by Chinese entrepreneurs under parent company Butterfly Effect, Manus is known for its autonomous AI agents and will continue to operate independently while its technology is integrated across Meta’s platforms, with the company severing ties with Chinese investors and leaving China after the acquisition. (AI Insider)
Octopus Energy to launch AI platform Kraken Technologies after $1 billion funding round
British renewable energy group Octopus Energy is preparing to spin off its AI-based software arm, Kraken Technologies, after a $1 billion standalone funding round that values the company at $8.65 billion, positioning it for potential public market access by mid-2026, according to major shareholder Origin Energy. Led by CEO Amir Orad, Kraken provides AI-powered operating systems for utilities such as EDF and E.ON, has more than doubled its contracted annual recurring revenue over the past 18 months and will see Octopus retain a 13.7% stake while Origin holds 22.7% following the spin-off.AI Insider)
SoftBank Group to acquire DigitalBridge for $4 billion to scale next-generation AI infrastructure
SoftBank Group Corp. agreed to acquire DigitalBridge Group, Inc. for an enterprise value of approximately $4 billion, gaining control of hyperscale data centers, fiber, towers and edge assets to support its progress toward artificial super intelligence. The $16 per share all-cash deal, or a roughly 15% premium, gives SoftBank direct control over critical AI infrastructure capacity, with DigitalBridge continuing to operate as a separate platform under Marc Ganzi after an expected close in the second half of 2026. (AI Insider)
Knowledge
AI Insider Expert Predictions on Artificial Intelligence: Part 1
2025 was a pivotal year for artificial intelligence, marked by rapid progress and growing real-world impact across all sectors. To understand what’s next, we asked people working on the front lines of AI where they think the technology will be headed in 2026, and the volume of information was so great that the outlook is presented in two parts.AI Insider)
AI Insider Expert Predictions on Artificial Intelligence: Part Two
The second part of AI Insider’s expert outlook looks toward 2026, after a pivotal year for artificial intelligence, drawing on predictions from people working every day to shape where the technology is headed. The response was so broad that it was divided into two parts: If you missed the first part, catch up. Here are AI Insider’s expert predictions on artificial intelligence: part two. (AI Insider)
AI Insider’s Robotics Funding Year in Review
Record investments have flowed into leading humanoid robotics developers, underscoring strong investor confidence in scalable AI-embedded robots, despite growing concerns about a potential bubble. China has generated excitement with several funding rounds of more than $100 million focused on manufacturing and service robots, while U.S. and European companies have focused on autonomy platforms and hardware-agnostic embodied AI, supporting real-world deployments, even as some investors cautioned against excessive hype. (AI Insider)
Startups and capital
Moonshot AI Raises $500M in Series C and Valuation Hits $4.3B as Kimi Models Gain Global Momentum
Beijing-based Moonshot AI raised $500 million in a Series C round led by IDG Capital, with participation from Alibaba Group Holding and Tencent Holdings, valuing the company at $4.3 billion and increasing its cash reserves to more than 10 billion yuan. Founded by Yang Zhilin, Moonshot AI is developing the Kimi family of large language models and plans to use the funding to scale up research and global adoption, with no IPOs in the near term. (AI Insider)
Hypereal AI Secures Seed Funding to Enable Fast, Cost-Effective Generation of AI Images and Videos for Developers
Hypereal AI has closed a seed funding round with undisclosed terms to accelerate the development of its high-performance API for AI image and video generation designed for production-scale use. The company is positioning its platform as a generative media infrastructure, using the funding to expand its model offerings, improve image and video pipeline performance, and develop a developer-focused ecosystem focused on predictable latency, cost-effectiveness, and scalability. (AI Inside)
Block Security Arena Raises $30M in Seed Funding to Build AI-Native Web3 Security Infrastructure
Block Security Arena (BSA) has closed a $30 million seed funding round backed by Hotcoin Labs, Starbase, Onebit Ventures and Apus Capital to accelerate the development of its AI-powered Web3 security ecosystem. BSA is building an integrated platform that combines AI-driven security tools, gamified training, attack simulations, automated audits, and a decentralized white hat response layer aimed at making Web3 security more adaptive, scalable, and economically sustainable. (AI Insider)
Aidoptation secures €20 million to scale AI-based autonomous systems for commercial and defense purposes
The Belgian-American startup Aidoptation has raised an additional 20 million euros to accelerate the development and industrialization of autonomous systems based on AI, with the support of SFPIM, John Cockerill Defense, Ethias Ventures and Belfius Bank & Insurance. Founded in 2025 as a spin-off from the Indy Autonomous Challenge, Aidoptation is developing high-performance autonomous driving technology for commercial, emergency and defense vehicles, and will use the funding to expand AI research, industrial deployment and international partnerships. (AI Insider)
Upcoming conferences and events
Consumer Electronics Show (CES 2026)
Taking place January 6-9, in Las Vegas, Nevada, the Consumer Electronics Show (CES) remains a central meeting point for the global technology industry, where major companies, startups and investors come together to showcase their products, form partnerships and evaluate emerging trends in the technology sector. Owned and produced by the Consumer Technology Association, the Consumer Electronics Show 2026 will take place January 6-9 in Las Vegas, continuing its role as a broad, market-oriented overview of where consumer and enterprise technology is heading. (THESE)
Check AI Insider every day for the latest developments in AI and robotics.