OpenAI has officially announced its acquisition of the hardware start-up io, founded by the acclaimed former Apple design chief Sir Jony Ive. Valued at around $6. 4 billion and structured as an all-equity deal, this acquisition marks a significant strategic step for OpenAI as it expands its innovation beyond software and smartphone applications into new physical devices. Before this deal, OpenAI already owned a 23% stake in io, but with this transaction, it has gained full ownership. Acquiring io is a crucial move for OpenAI’s broader vision to develop novel and innovative devices that will change how humans interact with artificial general intelligence (AGI). This acquisition underscores OpenAI’s clear intent to pioneer hardware that goes beyond traditional computer and smartphone interfaces, striving to create seamless, intuitive ways for users to engage with advanced AI systems. This initiative aligns with the ongoing evolution of artificial intelligence, which is reshaping the boundaries and modalities of digital interaction. Sir Jony Ive, renowned for his key role in designing iconic Apple products like the original iPhone and Apple Watch, will not hold a formal employee role at OpenAI but will play a major part by leading creative and design efforts for both OpenAI and io. His involvement is expected to bring exceptional design excellence and visionary insight to OpenAI’s hardware ambitions.

Alongside this, io’s existing 55 employees will integrate into OpenAI, combining their expertise to accelerate the development of these new device experiences. This acquisition signals OpenAI’s commitment to reimagining fundamental modes of human-computer interaction at a time when conventional interfaces such as touchscreens and keyboards are increasingly seen as inadequate for AGI’s potential. OpenAI is confident it can overcome the limitations encountered in prior AI hardware efforts—like Humane’s AI pin, which fell short of market expectations—and instead intends to innovate with voice-activated experiences and other advanced interaction models that complement next-generation AI capabilities. It is noteworthy that Sir Jony Ive’s creative studio, LoveFrom, will continue independently despite this acquisition, focusing on its own projects while Ive collaborates with OpenAI in this new creative role. Furthermore, acquiring io enhances OpenAI’s existing technology partnerships, including a notable collaboration with Apple. Last year, OpenAI’s ChatGPT was integrated into Apple’s digital assistant and productivity tools, enriching user experiences with AI-powered functionality. The synergy between OpenAI’s AI expertise and Apple’s hardware-software ecosystem sets the stage for future innovations, and the purchase of io seems to accelerate OpenAI’s direct involvement in hardware development. In summary, OpenAI’s complete acquisition of io represents a pivotal evolution for the company, highlighting its ambition to push AI interaction boundaries through physical devices crafted with careful attention to user experience and design. Sir Jony Ive’s role as creative leader emphasizes the importance of design in this vision. Moving forward, OpenAI’s enhanced hardware capabilities, combined with its powerful AI technologies, have the potential to redefine personal computing and human-machine interaction in the years ahead.