In a major move into hardware, OpenAI has acquired io, the artificial intelligence device startup co-founded by Jony Ive, for $6.5 billion in equity. The deal includes OpenAI’s previous investment in the company and brings all 55 io employees into a newly formed internal hardware team.
A new chapter for OpenAI and Jony Ive
Jony Ive, known for his iconic work at Apple, will now lead design efforts for both io and OpenAI. His creative agency, LoveFrom, will remain active and continue working with other clients like Ferrari and Airbnb. Internally, Peter Welinder will head the new hardware division.
A bold step into AI-native devices
This acquisition marks OpenAI’s first full-scale leap into consumer-facing hardware. With io’s design expertise and OpenAI’s software dominance, the company plans to develop a new category of AI-native devices—tools meant to feel intuitive, seamless, and human-centered.
Sources familiar with the project say the goal is to go beyond phones and laptops, focusing instead on devices that interact naturally with users through voice, context, and intelligent assistance.
First product expected in 2026
The first hardware product from this partnership is expected to launch in 2026. While details remain under wraps, CEO Sam Altman has said the collaboration is about building “something truly new” at the intersection of design, AI, and user experience.
By bringing in one of the most influential designers of the 21st century, OpenAI is signaling its ambition to reshape not just software—but the physical form of AI itself.
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