OpenAI generated significant excitement around hardware last year following its acquisition of a startup founded by former Apple design head Jony Ive. The company remains secretive about the upcoming product, but OpenAI Chief Global Affairs Officer Chris Lehane stated at a Davos panel that the AI startup is on track to announce its first hardware device in the second half of this year.
Last November, CEO Sam Altman described the potential device as more peaceful and calm than iPhones. Previous reporting indicates the company aims to build a screen-free and pocketable device.
While OpenAI is not sharing details, more recent reports from Asian publications and leakers suggest OpenAI’s first device could be a pair of earbuds. According to these reports, the device is codenamed “Sweet Pea” and will feature a unique design compared to existing earbuds. The earbuds may operate 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 manufacturing partnership with China-based Luxshare, but might ultimately choose Taiwan’s Foxconn. The report also stated that OpenAI aims to ship 40 to 50 million units in the first year of sales.
OpenAI’s ChatGPT has nearly a billion weekly users, but the company must rely on other devices and platforms for distribution. With its own device, it could take more control over the development and distribution of its AI assistant and release exclusive, purpose-built features.
However, replacing existing earbuds like AirPods in users’ daily lives will be challenging without strong integration with operating systems. So far, there has not been a standout AI device success story. Last year, Humane Pin was sold to HP. Rabbit is still continuing after its initial 2024 hype. And the Friend AI companion necklace received a swift backlash for its marketing tactics.
That said, big tech companies are making moves into wearables. Meta’s Ray-Ban glasses are improving in scope and scale to the point where the company cannot keep up with demand. Amazon recently acquired Bee, an AI meeting recorder that could also function as a companion device.