OpenAI is set to acquire io Products, the hardware start-up founded by former Apple design legend Jony Ive, in a deal valued at approximately $6.5 billion, according to sources cited by the Financial Times.
The acquisition marks a bold move by Sam Altman’s AI powerhouse as it accelerates efforts to develop alternatives to the smartphone as the primary interface for artificial intelligence. Ive, renowned for designing iconic products such as the iPhone, iPod, MacBook, and Apple Watch, launched io Products after departing Apple in 2019 following nearly three decades at the company.
The Financial Times reports that this acquisition is part of a broader industry trend as AI companies look beyond the smartphone for next-generation hardware solutions to access and interact with AI systems.
OpenAI already maintains a strategic partnership with Apple, which last December integrated ChatGPT into its virtual assistant and productivity tools as part of a sweeping update branded as “Apple Intelligence.” Ive’s history with Apple and close ties to Steve Jobs further raise expectations for what could emerge from the collaboration with OpenAI.
Neither OpenAI nor io Products has publicly confirmed the deal at the time of publication.
