Back
Technology

OpenAI Developing Multiple AI Hardware Devices; Smart Speaker Expected in 2027

Generated on: Last updated: 7 sources
View source

OpenAI Expands Into Hardware: Smart Speaker, Glasses, and a Smartphone on the Horizon

OpenAI is developing a range of AI-powered hardware devices, including a smart speaker, smart glasses, and a smartphone, with the first product—a camera-equipped smart speaker—expected to launch in early 2027. The company has assembled a team of over 200 employees and acquired former Apple designer Jony Ive's startup, io Products, for $6.5 billion to lead the initiative. Multiple sources provide varying details on the timeline, specifications, and partnerships involved.

Details from Company Officials

OpenAI Chief Global Affairs Officer Chris Lehane stated in an interview with Axios that the company plans to reveal its first hardware product in the second half of 2026, with general availability potentially extending into 2027. Earlier in 2025, Lehane had indicated a first-half 2026 announcement.

OpenAI CEO Sam Altman told employees in May 2025 that he and Jony Ive intended to ship 100 million units of the product, characterizing the effort as potentially "the biggest thing we've ever done as a company."

Product Specifications and Form Factors

Smart Speaker

Multiple sources indicate the primary device under development is a smart speaker, projected for early 2027 release. Expected features include:

  • An integrated camera for gathering information about users and their surroundings
  • Facial recognition capability, similar to Apple's Face ID, for purchase authentication
  • AI integration enabling users to ask questions and issue requests
  • The ability to observe user behavior via video and suggest actions (e.g., recommending sleep before a morning meeting)
  • A price range of $200 to $300

Reports conflictingly describe the device as either screen-free or potentially featuring a display.

Smart Glasses and Smart Lamp

AI-powered smart glasses are anticipated for 2028. Prototypes of a smart lamp have been created, but its market release remains uncertain.

Smartphone

Analyst Ming-Chi Kuo reported that OpenAI is developing a smartphone in collaboration with MediaTek, Qualcomm, and Luxshare. According to Kuo, the device would use a custom chip developed with MediaTek and Qualcomm, with Luxshare as co-design and manufacturing partner. The smartphone is expected to rely on AI agents instead of traditional apps, using a mix of on-device and cloud AI models. Kuo projected specifications and component suppliers would be finalized by end of 2026 or Q1 2027, with mass production starting in 2028.

Earbuds

Asian publications and leakers have reported that the device could be a pair of earbuds, codenamed "Sweet Pea," featuring a custom 2-nanometer processor for local AI processing. OpenAI reportedly aims to ship between 40 to 50 million units in the first year.

Leadership and Design Team

Jony Ive, former Apple designer known for his role in designing the iPhone, joined OpenAI through the acquisition of his hardware firm io Products in May 2025. Ive and Altman reportedly discussed a prototype in November 2025, describing the device as a "peaceful," "active participant" that would "make people feel joy." They indicated a preference for a screen-less, pocket-sized device.

Ive's design company, LoveFrom, operates separately, providing designs for OpenAI's hardware and software engineers to implement. Evans Hankey is leading industrial design, with Ive making final design decisions. Other former Apple employees involved include Tang Tan, Scott Cannon, and Adam Cue on software.

Internal reports suggest tensions regarding LoveFrom's secrecy and the pace of design revisions.

Manufacturing and Partnerships

Regarding manufacturing partnerships:

  • Kuo reported collaboration with MediaTek, Qualcomm, and Luxshare for the smartphone
  • Other sources indicate OpenAI considered Luxshare but may favor Taiwan's Foxconn for earbud manufacturing
  • Analyst Ming-Chi Kuo projected assembly and shipping could occur outside China, such as in Vietnam, to address geopolitical considerations

Strategic Context

OpenAI, with ChatGPT serving nearly a billion weekly users, currently depends on other devices and platforms for distribution. Developing its own hardware could allow greater control over the AI assistant's development and distribution.

The push into hardware occurs alongside reports of Amazon's potential $50 billion investment in OpenAI, and speculation that OpenAI might develop custom AI models for Amazon products, including Alexa.

Competitive Landscape

OpenAI's device development places it in competition with:

  • Amazon: Pivoting Alexa strategy toward higher-quality devices; developing AI wearables
  • Apple: Expected to launch a 'HomePad' AI-powered smart speaker with camera; developing smart glasses and a pendant
  • Google: Plans to release its first Gemini-powered smart speaker
  • Meta: Continuing development of Ray-Ban smart glasses

Industry Observations

Previous standalone AI hardware devices, such as the Humane AI Pin and Rabbit R1, faced market challenges, with Humane selling parts of its business to HP. However, audio-based devices and AI wearables show continued market expansion.

Qualcomm launched the Snapdragon Wear Elite chip for screenless AI-powered wearables, with Google, Motorola, and Samsung among expected users. Smart glasses shipments increased by 139% in the second half of 2025 compared to the previous year, according to Counterpoint Research.

Privacy Considerations

The emergence of camera-equipped wearable devices raises privacy concerns regarding unconsented recording. Most devices, including Meta's smart glasses and Amazon's Bee bracelet, feature an LED light to indicate recording. Google has cited privacy considerations as a factor in its development processes.

OpenAI did not comment on the reports.