What Comes After the Smartphone?
The question varies depending on who you ask. Some believe the smartphone will remain relevant, while others think it will be replaced by smart glasses, or even a completely new format. Despite the underwhelming results of early attempts (such as Humane’s AI Pin), companies are still working on their own AI devices, and OpenAI is among them. What do leaks and rumors suggest about this device? How might it function? Let’s explore.
The Origins of the Project
Jony Ive left Apple in 2019 and founded the creative studio LoveFrom. In 2024, he co-founded io Products, aimed at developing hardware that utilizes generative AI. In September 2024, the New York Times reported that io was collaborating with OpenAI, which later acquired the startup in May 2025 for $6.4 billion in OpenAI stock.
Left: Jony Ive, Right: Sam Altman | Image: OpenAI
In a letter published by Sam Altman, CEO of OpenAI, both emphasized their two-year collaboration driven by friendship and shared values. Notably, since leaving Apple, Ive has not designed any commercial hardware specifically for AI, raising questions about his experience in this area.
Concept of OpenAI’s AI Device
According to the Wall Street Journal, OpenAI aims to create a discreet “AI companion” that fits in your pocket or sits on your desk, fully aware of the user’s surroundings and lifestyle. It won’t have mobile functions, intended instead to reduce screen dependency.
By May 2025, OpenAI announced ambitions to ship 100 million devices, targeting a release in the latter half of 2026. Altman emphasized that the goal is not merely shipping a vast number of devices but doing so faster than any prior tech release.
This goal mirrors OpenAI’s ambitious outlook, yet past attempts, such as the AI Pin from Humane, struggled significantly, ultimately leading to its discontinuation.
Specifications and Possibilities
Latest leaks suggest the device is codenamed Sweet Pea and may function as earbuds, with the following specifications:
- Comfortably fitting behind the ears, similar to standard headphones.
- A charging case shaped like a smooth stone.
- A two-nanometer chip for local processing, while relying on cloud resources for heavier tasks.
- Manufacturing by Foxconn in Vietnam, avoiding geopolitical risks associated with Chinese production.
- A sales target of 40 to 50 million units in the first year.
Based on leaks, OpenAI’s device resembles Huawei’s FreeClip 2 | Image: Xataka
Challenges Ahead: Pricing and Privacy Concerns
This ambitious project raises questions, particularly regarding value propositions against existing True Wireless Stereo (TWS) earbuds. How will the device connect to the internet? Will a subscription be necessary? These uncertainties could complicate its market introduction.
Privacy is another significant challenge. The AI device could possess vast amounts of sensitive user data, prompting scrutiny under regulations like GDPR, especially within Europe.
The Future of AI Devices
Recent reports, including insights from The Information, indicate that OpenAI may be developing multiple devices, including a smart speaker, intelligent glasses, and even a smart lamp. This aligns with industry trends moving towards integrated AI solutions.
One feature predicted for their smart speaker includes facial recognition capabilities for online shopping, and it is projected to retail between $200-$300.
Emerging Concepts: An AI Phone?
Interestingly, new leaks suggest OpenAI might pivot to developing a smartphone, potentially in collaboration with MediaTek and Qualcomm—this “AI Phone” would ideally capture real-time user data to enhance AI-driven interactions.
Interface concept for OpenAI’s AI Phone by Ming-Chi Kuo | Image: Ming-Chi Kuo on X
With the integration of hardware and software similar to Apple, a rollout is expected no earlier than 2028. The potential remains vast, hinging on the company’s ability to manage both market dynamics and technological advancements effectively.