OpenAI Scoops Up Jony Ive and Sam Altman’s AI Hardware Startup for USD500 Million
The long-rumoured collaboration between OpenAI and legendary former Apple design chief Jony Ive has reportedly taken a significant turn. According to a new report from The Information, OpenAI, the company behind the groundbreaking ChatGPT, has acquired io Products, the AI hardware startup co-founded by Ive and OpenAI’s current CEO, Sam Altman, in a deal estimated to be worth around USD500 million.
Acquisition Solidifies OpenAI’s Hardware Ambitions
For over a year, whispers of a joint venture between the AI powerhouse and the iconic designer have circulated, initially suggesting the development of innovative AI hardware. Now, this acquisition solidifies OpenAI’s commitment to entering the hardware space, bringing Ive’s renowned design expertise directly under its umbrella.
io Products, the name given to the Ive-Altman partnership, was reportedly exploring a range of AI-powered products and smart home devices. Intriguingly, the startup was allegedly considering launching an AI phone that would buck the trend by omitting a screen. However, sources with direct knowledge have since suggested that the purported device might not be a phone at all, leaving the exact nature of their flagship product shrouded in mystery.
From Potential Partnership to Full Acquisition
Prior to the acquisition, OpenAI had reportedly considered a partnership model, where they would provide software and support while Ive’s team focused on hardware design. However, the acquisition grants OpenAI full access to the underlying technology and the talented engineering team assembled by Ive, which includes former Apple designers Tang Tan and Evans Hankey.
The Future of AI Hardware Remains Unclear
While the specifics of io Products’ work remain largely under wraps, the involvement of such prominent figures from both the AI and design worlds signals a potentially groundbreaking approach to consumer technology. The concept of a dedicated AI-powered device, whether it’s a screenless phone or an entirely new form factor, is still in its nascent stages. The critical question that OpenAI and Ive will need to answer is how their product will differentiate itself and offer a truly compelling user experience beyond what current smartphones with advanced AI capabilities can provide.
