China blocks purchase of ABB's robotics division by Japanese group SoftBank

China has blocked SoftBank's acquisition of ABB's robotics division, valued at $5.4 billion, surprising both parties involved. The decision, made by the National Development and Reform Commission, raises concerns about technology transfer amid rising tensions with Japan and the U.S. ABB's robotics division is crucial in China, producing over 90% of its robots locally. SoftBank's founder, Masayoshi Son, aimed to enhance the company's presence in physical AI through this acquisition. The block poses a setback for SoftBank's strategy, as it seeks to integrate robotics with advanced AI systems while also negotiating another acquisition in the security sector.