Softbank’s ABB Robotics Acquisition: Why Robotics Is Becoming Core to IT Services 

SoftBank’s ~$5.4B acquisition of ABB Robotics in October 2025 drew attention as a major industrial automation deal. A more structural shift sits beneath it: robots are increasingly operating as connected, AI-enabled systems integrated into enterprise IT and OT environments, rather than isolated electromechanical assets. This transition expands robotics from a hardware-centric market to one that depends on software, data, cloud, security, and lifecycle services. 

What SoftBank Gains 

ABB Robotics brings SoftBank a top-tier industrial robotics footprint, a large installed base, and deep relationships across automotive, electronics, logistics, and manufacturing. It also creates a platform where AI and data services can be layered onto deployed fleets—not just machines but distributed digital endpoints. 

Softbank’s recent moves suggest a broader AI-first strategy: 

• Joint venture with OpenAI in Japan to commercialize enterprise AI services 
• Follow-on investment commitments of up to ~$40B tied to OpenAI restructuring 
• Participation in the multi-gigawatt AI compute initiative "Stargate" with OpenAI and Oracle 
• Reallocation of capital, including exit from its NVIDIA stake, toward AI-aligned platforms 

Together, these signal that SoftBank’s robotics investment is part of a wider plan that links AI models, cloud infrastructure, and physical automation. 

Why IT Services Providers Should Pay Attention 

The robotics market is no longer just about electromechanics. As robots become connected and intelligent, they start to look a lot more like distributed IT assets—with all the familiar concerns: 

• Cloud and edge connectivity 
• Secure networking and segmentation 
• Data pipelines and telemetry 
• AI/ML models, lifecycle and governance 
• Integration with ERP, MES, WMS and other enterprise systems 

Traditional robotics companies are very strong in mechanical design, control, and industrial safety. Many, however, are still evolving their capabilities in cloud-native architectures, cybersecurity, MLOps, and large-scale integration across heterogeneous IT environments. 

That creates a natural opportunity for IT service providers who already understand: 

• Hybrid and multi-cloud environments 
• Enterprise integration and data platforms 
• Identity, security, and compliance 
• Network and edge architecture 
• Operating models for managed services 

In other words, as robots become “first-class citizens” in the IT landscape, there is room for IT providers to play a larger role in how these systems are planned, integrated, and operated over time. 

Where IT Providers Fit: Examples and Value Levers 

Across sectors, enterprises are asking a fairly consistent set of questions: 

Before deployment – Strategy and design: 

• Which processes are suitable for robotics? What does a realistic business case look like (beyond headcount reduction)? How do we prepare our workforce, safety culture, and governance? 

Here, advisory engagements in the $150K–$2M range over 3–6 months are not unusual—especially when they tie robotics to broader digital transformation, supply chain, and operations improvement agendas. 

During deployment – Engineering and integration 

• Can you integrate cobots, AMRs, industrial arms, and vision systems into our specific workflows? Can you handle PLC/controls, safety certifications, and connectivity to ERP/MES/WMS? Can you design for edge compute, network segmentation, and monitoring from day one? 

Implementation programs can easily range from $200K to $10M per site, often with ongoing support and enhancement contracts (for example, 15–20% of project value per year). 

After deployment – Operations and managed services:  

• Can you monitor our robotic fleet 24/7 and manage updates, incidents, and performance? Can you structure subscription or pay-per-use models that reduce upfront CAPEX? Can you help us track and improve KPIs like throughput, uptime, and energy usage? 

In managed models, annual contract values of $5K–$50K per robot (depending on scope and criticality) are plausible—especially where there are uptime SLAs and outcome-linked incentives. 

Across these stages, concrete IT-centric use cases include: 

• Fleet orchestration and WMS integration in warehouses 
• Vision systems and MES traceability on production lines 
• MLOps and edge inference pipelines for automated inspection 
• Telemetry, observability, and predictive maintenance analytics 
• Secure connectivity and network design for distributed sites and edges 

These are all familiar problem spaces for mature IT service providers—just applied to a new class of physical endpoints. 

What This Means for IT Providers 

SoftBank’s move with ABB Robotics can be read as one data point in a broader pattern: robotics is increasingly intertwined with AI, cloud, and network architecture, rather than sitting apart as “plant floor equipment.” 

For IT services providers, a few implications follow: 

• There is room to treat robotics as a cross-cutting practice area, not a side topic—especially at the overlap of cloud, AI, and OT. We see providers such as HCLTech launch new physical AI labs (link). 
• Differentiation will likely come from clear positioning: some firms may focus on advisory and roadmap design; others on integration and engineering depth; others on managed operations and RaaS models. 
• Partnerships—with robotics OEMs, industrial integrators, telcos, cloud providers, and security vendors—will be important to build credible, end-to-end offerings. 
• Over time, enterprises may value providers who can speak fluently across perception, autonomy stacks, industrial safety, and enterprise IT, rather than treating them as separate worlds. 

As autonomy and embodied intelligence mature, IT service providers may not need to participate in every layer, but those who develop focused capabilities—whether in advisory, integration, or managed operations—will be better placed as demand grows. 

Yash Jethani Pradeep - Senior Manager and Principal Analyst 

Yash has over 14 years of professional experience, primarily in the technology, media and telecom (TMT) vertical. He has contributed to thought leadership, market and competitive research, consulting, business development, and due diligence as well as account management cutting across corporate marketing, risk, strategy, and sales functions.  

Prior to ISG, Yash worked with KPMG in India supporting their national TMT practice in advisory, thought leadership as well as strategic pursuits. While at IDC, he was responsible for delivering custom as well as syndicated research for Telco & IoT Asia Pacific clients. He has also had stints with CGI and TCS in supporting their corporate and account marketing initiatives with a focus on next-gen IT delivery within Telco/ Comms verticals. He currently contributes to ISG Provider Lens global research studies as a lead analyst for software defined networks, managed network services as well as telecom and media managed services studies across regions.  

Yash holds a PGDM in Telecom & IT supported by an engineering degree in computers. He is also TM Forum certified and actively contributes as a member to the Bangalore Software Process Improvement Network, a non-profit.