OpenAI's first AI hardware will be as tiny as iPod Shuffle, will enter mass production in 2027

OpenAI CEO Sam Altman made headlines this week with the official announcement of the company’s first-ever AI hardware device. Long rumoured in tech circles, the project has now been confirmed following OpenAI’s $6.5 billion acquisition of Jony Ive’s company, IO. While the company hasn’t revealed the final design, early reports suggest it will feature a compact, display-free form factor — reminiscent of the classic iPod Shuffle but slightly larger than Humane’s AI Pin.

Industry analyst Ming-Chi Kuo reports that the device will be equipped with built-in cameras and microphones for environmental detection, ditching a traditional display entirely. Designed for seamless, ambient AI interaction, the wearable is expected to hang around the neck and connect to smartphones and PCs for computing and display needs.

In a strategic shift, OpenAI plans to manufacture the device in Vietnam, avoiding geopolitical risks associated with Chinese production. The move marks a bold new chapter for the AI powerhouse, which until now has focused exclusively on software like ChatGPT.

According to insiders, the project is more than just a hardware launch — it’s a statement of intent. Sam Altman reportedly believes this could be “the biggest thing we’ve ever done as a company,” even forecasting a potential $1 trillion addition to OpenAI’s valuation. With ambitions to sell 100 million units, the device aims to redefine how users engage with AI in everyday life.

Interestingly, this announcement comes just days after Google’s I/O conference, with analysts suggesting OpenAI is cleverly seizing the narrative. The new IO division, led by OpenAI executive Peter Welinder, is already deep in development, blending expertise from hardware, software, and manufacturing teams.

While much about the final product remains under wraps, one thing is certain — OpenAI is making a dramatic leap from software to physical AI-powered experiences.

Source: Indiatoday

Voice of Osiz

We see OpenAI’s entry into AI hardware as a pivotal move that could reshape personal tech experiences. A minimalist, display-free device built for seamless AI interaction is a bold step toward ambient intelligence. Our team believes this could redefine how users engage with AI in everyday moments. It’s a development we’re watching with great interest.