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OpenAI acquires Jony Ives startup for new AI devices

Milan Jovicic by Milan Jovicic
May 21, 2025 - 8:28 PM CEST
in Apple News
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OpenAI Jony Ive

Image: OpenAI

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OpenAI is entering the hardware market. The company is acquiring the AI startup io, co-founded by Jony Ive. The goal is to develop new devices that will fundamentally change the way we interact with technology. The plans extend far beyond what is known today as a computer. With this acquisition, OpenAI is sending a clear message: The future of AI will not only take place in the cloud, but also in the form of new, intelligent devices.

Jony Ive is no stranger. As Apple's longtime chief designer, he played a key role in shaping products like the iPhone, iMac, and iPad. After leaving Apple, he founded the design studio LoveFrom and worked with a small team of former Apple designers on a new hardware concept. At the same time, he maintained a close collaboration with OpenAI CEO Sam Altman. Together, they have been working on a new approach to personal technology for about two years. Now, this partnership has evolved into an acquisition—OpenAI is buying io for $6.5 billion.

OpenAI buys io – what’s behind the deal?

OpenAI confirmed that the acquisition of io is expected to close this summer, subject to regulatory approval. It is the company's largest acquisition to date. io brings not only hardware expertise but also a top-class team: in addition to Ive, it includes Tang Tan, Scott Cannon and Evans Hankey - all of whom previously held leading design positions at Apple. Also involved is designer Mark Newson, a close associate of Ive. OpenAI will contribute the artificial intelligence, while io will be responsible for technical development. Design will be handled by LoveFrom, Ive's studio. The teams will be merged, with Hankey, Tan and Cannon moving directly to OpenAI.

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What is the goal of the collaboration?

The long-term goal is the development of a new "family of AI devices." A first prototype already exists. Altman himself tested it in everyday life and described the device as "the coolest piece of technology the world has ever seen." There are no concrete details about the device, but previous leaks indicate that it could be a voice-controlled device without a screen—an alternative to a smartphone, but without a traditional screen or touch controls. Jony Ive sees the development as a logical next step. Today's devices, while powerful, are based on decades-old concepts. It is time to rethink technology—with people at the center.

What distinguishes this project from previous AI gadgets?

There are already AI devices without screens, such as the Rabbit R1 or the Humane AI Pin. Neither has yet gained traction. The difference here lies in the combination of technological expertise (OpenAI) and design expertise (Ive and his team). While other products often seem immature or lack practical applicability, this new device is designed to be well thought out from the start – both technically and in terms of design.

OpenAI vs. Apple?

The partnership between OpenAI and Ive puts the company in a new position: For the first time, OpenAI is emerging as a potential hardware provider – in direct competition with Apple. Particularly exciting is that Apple is considered relatively reserved when it comes to AI development. Many market observers see this initiative as having the potential to be the "next big thing," possibly even a successor to the smartphone. The first official information about the new device is expected in 2026.

  • Has AI already overtaken humans?

OpenAI rethinks hardware – and long-term

With the acquisition of io, OpenAI is not only securing a talented hardware team, but is also strategically positioning itself for the coming years. This isn't just about a single device, but rather a long-term realignment – away from pure software and toward holistic technology. Altman and Ive don't want to simply build a new gadget; they want to fundamentally rethink the way we interact with computers. If you're interested in how AI will change not only your software but also your device in the future, keep an eye on OpenAI. Looking for accessories? Our Amazon Storefront is your destination for high-quality products, including HomeKit! (Image: OpenAI)

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Milan Jovicic

Milan Jovicic

Milan founded Apfelpatient in 2016 and has been responsible for all editorial content since 2018 — news, rumors, guides, and product reviews. Apple devices here are not test units on loan for two weeks but everyday tools: from the iPhone through MacBook Pro, MacBook Air, and iMac to the Apple Vision Pro, at least one device from nearly every product category is in daily use, many of them replaced annually. Every menu path in a guide is verified on the device before it is published.

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