Softbank launches $100m minorities startup fund in the wake of George Floyd protests
Softbank has launched a new startup fund to invest in companies led by “people of colour” in the wake of protests over the death of George Floyd.
The Japanese technology giant announced the $100m (£80m) Opportunity Growth Fund as other executives of firms speak out over racial inequality.
Chief executive Masayoshi Son wrote on Twitter “Racism is a lamentable thing”, ending his post with “#BlackLivesMatter”.
In a letter to employees, Softbank’s chief operating officer Marcelo Claure said the fund, which he will lead, aims to invest in entrepreneurs “from communities that face systemic disadvantages in building and scaling their businesses.”
Softbank also runs the $100bn Vision Fund which invests in startups across the world. It has been mired with issues as it warned of further losses on its investments in part because of Son’s bet on the struggling WeWork.
The announcement of the fund comes after the death of the unarmed black man, George Floyd, by police officers in Minneapolis. It sparked protests across the US and has led to some business leaders come out in support of the Black Lives Matters movement.
Twitter’s Jack Dorsey tweeted that he was making a $3m donation to former NFL player Colin Kaepernick’s Know Your Rights Camp to “advance the liberation and wellbeing” of minority communities.
Earlier this week the Bank of America said it would donate $1bn over four years to community programmes and small businesses to help address racial inequality.