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OpenAI Advances AI Hardware Development with Jony Ive, Smart Speaker Anticipated by 2027

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OpenAI Teams with Jony Ive for Dedicated AI Hardware, Smart Speaker Targeted for 2027

OpenAI is actively developing its initial dedicated hardware devices, with a primary focus on an AI-powered smart speaker. This ambitious venture is a collaboration with former Apple designer Jony Ive and his firm LoveFrom. Chris Lehane, OpenAI's Chief Global Affairs Officer, indicated a product reveal in the second half of 2026, with general availability potentially extending into 2027.

OpenAI's strategy aims to gain greater control over its AI assistant's development and distribution, offering exclusive, purpose-built hardware features.

Collaboration with Jony Ive and LoveFrom

OpenAI acquired Jony Ive's design firm, io (also referred to as io Products), in May 2025 for $6.5 billion. Ive, renowned for his work on the iPhone, and his team are integral to this new hardware initiative. LoveFrom, Ive's primary design company, operates separately, providing designs for OpenAI's hardware and software engineers.

Ive retains final decision-making authority on design elements, with Evans Hankey leading industrial design. Former Apple employees Tang Tan, Scott Cannon, and Adam Cue are also reported to be involved on the software side of the project. The dedicated device development team within OpenAI comprises over 200 individuals.

Anticipated Products and Features

OpenAI is reportedly developing several AI hardware devices, with the smart speaker expected to be the first product to market.

Smart Speaker

This device is projected to launch in early 2027 and is expected to be priced between $200 and $300. It is anticipated to include an integrated camera capable of gathering information about users and their surroundings, such as identifying objects or conversations. Facial recognition functionality, similar to Apple's Face ID, is also expected to facilitate purchases.

The speaker will integrate AI, enabling users to ask questions and issue requests. Internal communications suggest the device could observe user behavior via video and propose actions to help achieve goals, such as recommending an early bedtime. Reports indicate it will be screen-less and rely primarily on voice input, designed to be contextually aware of its environment.

OpenAI CEO Sam Altman previously described a potential device as "peaceful and calm," differing from current smartphones with a screen-free and pocketable form factor.

Other Potential Devices

  • Smart Glasses: AI-powered smart glasses are anticipated to follow the smart speaker, potentially in 2028.
  • Smart Lamp: Prototypes of a smart lamp have been created, but its market release remains uncertain.
  • Earbuds: Early reports also indicated consideration for a pair of earbuds, codenamed "Sweet Pea," rumored to feature a custom 2-nanometer processor for local AI task handling.

Development Timeline and Production Targets

OpenAI's Chief Global Affairs Officer indicated a product reveal in the latter half of 2026, with general availability potentially extending into 2027. Mass production for the initial product is also projected to begin in 2027.

Altman and Ive reportedly discussed prototypes in November 2025. Altman previously communicated to employees an intention to ship 100 million units of the product, characterizing the effort as a potentially significant undertaking. Earlier reports cited a target of 40 to 50 million units in the first year of sales.

Regarding manufacturing, OpenAI reportedly considered a partnership with China-based Luxshare but may favor Taiwan's Foxconn. Assembly and shipping could occur outside China, such as in Vietnam, potentially influenced by geopolitical considerations.

Market Landscape and Challenges

OpenAI's entry into hardware places it in competition with established tech companies and previous standalone AI hardware devices. The company currently relies on other platforms for its AI assistant distribution. Challenges include integrating with existing operating systems and competing with established devices like Apple's AirPods. Previous AI hardware devices, such as the Humane AI Pin and Rabbit R1, did not achieve widespread consumer adoption.

Major tech companies, including Amazon, Apple, Google, Meta, and Samsung, are also developing AI-powered wearables and smart devices, encompassing smart speakers, smart glasses, and voice recorders. Qualcomm has introduced the Snapdragon Wear Elite chip, designed for screenless AI-powered wearable devices, indicating broader industry interest. Industry observations note that new screen-based consumer technology products face challenges when competing with smartphones and smartwatches, while audio-based devices show continued potential.

The development of devices with integrated cameras and microphones also raises significant privacy concerns, particularly regarding unconsented recording.

While many devices incorporate LED lights to indicate recording, incidents of unconsented recording have been reported, raising significant privacy concerns.

Google has acknowledged that its commitment to user privacy can sometimes result in slower development processes to thoroughly consider all potential use cases.

Internally, reports suggest some OpenAI employees have raised concerns regarding LoveFrom's operational secrecy and the pace of design revisions.