SoftBank contributed $50 million to the Donald J. Trump Presidential Library Foundation in January, just months before securing a massive federal land lease in Ohio. The timing was revealed by the Japanese conglomerate in response to a June inquiry from Senators Elizabeth Warren and Richard Blumenthal, and Representative Melanie Stansbury, who raised concerns regarding potential bribery.
The Ohio AI Infrastructure Deal
In March, SoftBank’s subsidiary, SB Energy, announced a public-private partnership to develop what it calls the “world’s largest” AI data center. The project is situated on U.S. Department of Energy land in Portsmouth, Ohio. To power the facility, SB Energy plans to construct a nearby gas-fired power plant with a minimum capacity of 9.2 gigawatts.
Unusual Timing and Corporate Governance
Lawmakers pointed out that SoftBank’s previous contributions to the presidential libraries of Ronald Reagan and George W. Bush occurred only after those presidents had left office and their respective foundations were established. In contrast, the $50 million donation to Trump’s library was made during his term and before any construction had begun.
The controversy is further complicated by the legal status of the receiving entities. While the original Donald J. Trump Presidential Library Fund was dissolved by the state of Florida last September for failing to file reports, SoftBank clarified its donation went to the Donald J. Trump Presidential Library Foundation, Inc. Eric Trump serves as a trustee for this nonprofit organization.
