OpenAI created a lot of hype around hardware last year after it acquired former Apple design head Jony Ive’s startup io. While the company is tight-lipped about the upcoming product, its OpenAI Chief Global Affairs Officer Chris Lehane said in an Axios-hosted panel at Davos the AI startup is on track to announce its first hardware device in the second half of this year.
Last November, Altman described the potential device to be more “peaceful and calm” than iPhones. Previous reporting suggests the company wants to build a screen-free and pocketable device.
While the company is not spilling any details, more recent reporting from Asian publications and leakers suggests OpenAI’s first device could be a pair of earbuds. According to reports, this device is codenamed “Sweet Pea” and will have a unique design as compared to existing earbuds. The earbuds could work on a custom 2-nanometer processor and handle AI tasks locally instead of sending requests to the cloud.
A separate report from a large Taiwanese newspaper noted that OpenAI was exploring a partnership with China-based Luxshare for manufacturing, but might eventually lean in favor of Taiwan’s Foxconn. The report also said in the first year of sales, OpenAI aims to ship 40 to 50 million units.
OpenAI’s ChatGPT has nearly a billion weekly users, but the company has to rely on other devices and platforms for distribution. With its own device, it might want to take more control of the development and distribution of the AI assistant and also release exclusive and purpose-built features.
However, replacing existing earbuds like AirPods in users’ daily lives is going to be challenging if there’s not a strong integration with operating systems.
Until now, there hasn’t been a standout AI device success story. Last year, Humane Pin got sold to HP. Rabbit is still just chugging along after the initial hype of 2024. And the Friend AI companion necklace received a swift backlash for its marketing tactics.
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That said, big tech companies are making moves into wearables. Meta’s Ray-Ban glasses are increasingly improving in scope and scale to the point where the Facebook-maker can’t keep up with demand. And Amazon recently acquired Bee, an AI meeting recorder that could moonlight as a companion.