Sprint (S) - Get Report owner SoftBank (SFTBY) will launch a tech fund with the help of Saudi Arabia's sovereign wealth fund which will manage as much as $100 billion.

The move comes hot off the heels of SoftBank's £24 billion ($29 billion) purchase of the U.K.'s ARM Holdings, a semiconductor designer, as the Japanese company looks to become a bigger player in the tech sector. The company also sold part of its stake in internet-giant Alibaba (BABA) - Get Report and offloaded games maker Supercell.

"Over the next decade, the SoftBank Vision Fund will be the biggest investor in the technology sector," SoftBank founder and chairman Masayoshi Son said in a statement.

The London-based fund, which will be known as SoftBank Vision Fund, will make investments in the technology sector around the world. The Japanese company will invest at least $25 billion over the next five years. The Public Investment Fund of the Kingdom of Saudi Arabia will become the lead partner, investing up to $45 billion over the next five years.

The pairing in a statement said that they are in "active dialogue" with a few other large investors to participate in the fund. The overall size of the fund can go up $100 billion.

In the realm of tech venture capital, the figures stated by SoftBank and the Saudi fund are huge. According to data from the National Venture Capital Association, $100 billion is the same amount raised by all U.S. venture capital funds over the past two and a half years

Softbank has been shifting away from its cell phone carrier business and looks to up investments in the internet of things. "The objective of SoftBank to establish the fund is to accelerate [the company's] global growth strategy through the investments via the fund and alliances with portfolio companies of the fund," SoftBank said.

Saudi Arabia, for its part, is making a push into non-oil investment as the sovereign wealth fund looks to shore up its financial reserve against the drop in oil. In the summer, the fund made a $3.5 billion investment in car-booking app Uber.