OpenAI acquires Jony Ive's startup to build next-gen AI device.

A veil of secrecy has long shrouded the ambitious artificial intelligence device emerging from the collaboration between former Apple design chief Jony Ive and OpenAI CEO Sam Altman. Recent reports and purported leaks, however, have begun to sketch the outlines of a project aiming to redefine human-computer interaction, potentially backed by a staggering $6.5 billion acquisition of Ive's nascent hardware startup, "io," by OpenAI.[1][2][3][4][5] This venture signifies a bold step to create what some are calling the "iPhone of artificial intelligence," a device that moves beyond current technological paradigms.[6][7]

Leaked details and internal discussions suggest the device is envisioned not as a direct smartphone replacement, but as a new category of "AI companion" or a "third core device" to complement existing technology like MacBooks and iPhones.[8][9][10][11] A primary characteristic appears to be a screenless, or at least "less screen-dependent," interface, focusing on more natural and unobtrusive interactions, likely heavily reliant on voice and AI-driven context awareness.[8][12][10][13][14] The device is reportedly designed to be "fully aware of a user's surroundings and life," capable of resting in a pocket or on a desk, and providing a seamless connection to AI.[8][15][10][11][14][16] Some reports indicate it might be a compact, wearable item, possibly worn around the neck, featuring cameras and microphones for environmental sensing, and potentially connecting to smartphones or PCs for some functionalities.[17][18][19][20] Sam Altman has reportedly told OpenAI staff of plans to eventually ship 100 million of these devices, aiming to achieve this milestone "faster than any company has ever shipped 100 million of something new before."[8][1][9][15][16][21] A prototype is said to exist, which Altman has reportedly tested and described as "the coolest piece of technology that the world will have ever seen."[9][22][23] The first product from this collaboration is tentatively expected in 2026 or 2027.[24][3][18]

At the heart of this venture is Jony Ive's renowned design philosophy, honed during his decades at Apple where he shaped iconic products like the iMac, iPod, and iPhone.[25][6][26][27][28][14] His firm, LoveFrom, which he co-founded after leaving Apple, is expected to lead the design and creative aspects for both OpenAI and "io".[2][27][22][4][28][13][14][29] Ive's involvement signals a commitment to making AI technology not just powerful but also intuitive, accessible, and aesthetically integrated into users' lives.[24][25][26][27] The ambition is to move beyond what Ive and Altman see as the "decades old" and "clunky" interfaces of current devices, such as keyboards and screens, which they believe are not optimized for the age of AI.[8][2][22][30] Ive has reportedly expressed disillusionment with the iPhone's impact on user attention and anxiety, hinting at a motivation to create something less intrusive.[3] His historical emphasis on minimalism and humanizing technology is anticipated to be central to this new device, aiming for an experience that feels natural and perhaps even "invisible," amplifying human capability without demanding constant attention.[26][12][27]

The financial underpinnings of this project are substantial. While earlier reports in late 2023 indicated Ive and Altman were seeking up to $1 billion in funding from investors like SoftBank, more recent information points to OpenAI acquiring "io," the startup established by Ive and other former Apple executives including Tang Tan and Evans Hankey, for approximately $6.5 billion in an all-stock deal.[1][2][3][27][4][28][31][13][32][11][5][14][29][21][33] This acquisition, described as OpenAI's largest to date, reportedly includes OpenAI's previous 23% stake in "io".[2][3][4][32][5][14][33] This strategic move would bring Ive's 50-plus person team into OpenAI to build hardware for AI interfaces, although Ive himself is not expected to become an OpenAI employee, with LoveFrom remaining independent but taking on broad design responsibilities.[3][27][28][32][5][14][29] Altman has reportedly suggested this venture has the potential to add $1 trillion in value to OpenAI.[11][21][33] The collaboration between Altman and Ive reportedly began around two years ago, evolving from initial explorations into a full-fledged company aimed at developing a new family of products.[27][22][4][5][23]

The implications of this ambitious undertaking for the AI and technology industries are profound. Such a device, if successful, could significantly alter how users interact with artificial intelligence, moving it beyond software applications on existing platforms into dedicated, seamlessly integrated hardware.[24][25][13] This represents a direct challenge to established tech giants like Apple and Google by potentially creating a new paradigm for AI interaction and a new ecosystem.[24][13][11] The venture, however, is not without significant hurdles. Convincing users to adopt a new category of device, especially one that aims to be deeply integrated into their lives and aware of their surroundings, will be a major challenge, particularly in light of the struggles faced by other recent AI hardware entrants like the Humane Ai Pin.[8][15] The technological feasibility of creating a truly intuitive and reliable AI companion, alongside addressing inevitable privacy and ethical concerns related to a device that "knows everything about you," will be critical to its success.[8][25][15]

In conclusion, the Jony Ive and Sam Altman AI device project, reportedly solidified by OpenAI's multi-billion dollar acquisition of "io," represents a high-stakes bid to pioneer the next generation of personal technology.[1][2][30] Fusing Ive's legendary design prowess with OpenAI's leading AI capabilities, the venture aims to create a deeply integrated, potentially screenless AI companion that could reshape human-computer interaction.[8][24][6][26][10][13][32][7] While specific details remain closely guarded and the release is still some time away, the ambition is clear: to move beyond existing hardware limitations and usher in an era of more natural, intuitive, and pervasive artificial intelligence.[8][9][22][10][11][14][30] The success of this endeavor hinges on overcoming significant technological, user adoption, and ethical challenges, but its potential to disrupt the AI landscape is undeniable.