OpenAI’s next big bet won’t be a wearable: report

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OpenAI pushed generative AI into the public consciousness. Now, it could be developing a very different kind of AI device.

According to a WSJ report, OpenAI CEO Sam Altman told employees Wednesday that the company’s next major product won’t be a wearable. Instead, it will be a compact, screenless device, fully aware of its user’s surroundings. Small enough to sit on a desk or fit in a pocket, Altman described it as both a “third core device” alongside a MacBook Pro and iPhone, and an “AI companion” integrated into daily life.

The preview followed OpenAI’s announcement that it will acquire io, a startup founded just last year by former Apple designer Jony Ive, in a $6.5 billion equity deal. Ive will take on a key creative and design role at OpenAI.

Altman reportedly told employees the acquisition could eventually add $1 trillion in market value to the company as it creates a new category of devices unlike the handhelds, wearables, or glasses that other outfits have rolled out.

Altman also reportedly emphasized to staff that secrecy will be critical to prevent competitors from copying the product before launch. A recording of his remarks leaked to the Journal raises questions about how much he can trust his own team and how much more he’ll be willing to disclose.