OpenAI is reportedly considering acquiring a hardware startup co-founded by former Apple design lead Jony Ive and OpenAI CEO Sam Altman. The startup, called io Products, is working on a consumer AI device that prioritizes natural interaction over traditional screens.
The acquisition price is reportedly being discussed at over $500 million. io Products has secured over $1 billion in funding commitments from backers, including Thrive Capital. The startup aims to develop a device that blends iconic design with advanced AI capabilities, potentially challenging products like the Apple Watch.
The acquisition would help OpenAI integrate AI capabilities into purpose-built hardware, expanding its presence in the consumer AI market. OpenAI has already submitted a trademark application for AI-powered devices, including smartwatches, glasses and AR/VR headsets.
If successful, this acquisition could signal OpenAI's shift toward shaping the form of AI in users' hands. The company is looking to move beyond software tools and into fully integrated physical platforms, potentially revolutionizing the way people interact with AI technology.
