An AI-first hardware push is quietly taking shape — with OpenAI moving beyond pure software and into devices. Below, only facts and figures are corrected or sharpened, with sources and superscript markers.
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From AI pioneer to hardware disruptor
Sam Altman has already left his mark on the tech world with ChatGPT, a creation that reshaped how millions interact with artificial intelligence. Now, the OpenAI CEO is eyeing an even bolder ambition — a device that could rival, or even replace, the iPhone. It’s a lofty goal, but Altman isn’t taking it on solo. He’s joined forces with Sir Jony Ive, the former Apple designer whose fingerprints are all over the iPhone, iPad and MacBook. In May 2025, OpenAI agreed to acquire Ive’s hardware start-up io in a deal reported at about $6.5 billion, to bring AI-native hardware in-house.¹
The next leap in human–AI interaction
Tech giants from Silicon Valley to Shenzhen are racing to master AI, each building smarter and more powerful models. But software is only part of the equation. Altman believes the future lies in AI-first hardware — devices designed from scratch to harness artificial intelligence, not just run it.
He has suggested this could mark a platform shift on the scale of the smartphone era (according to recent coverage), though concrete product details remain tightly guarded. The intention is clear: a device that makes AI as natural to use as sending a text.
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Early reporting points to an unobtrusive, non-phone form factor — aiming to avoid screen-time overload while keeping AI accessible.
The Jony Ive factor
Bringing in Jony Ive signals a serious play for design excellence. During his decades at Apple, Ive didn’t just design products; he crafted experiences that set the standard for intuitive technology. In the OpenAI collaboration, Ive and his studio LoveFrom remain independent while taking on broad creative responsibilities — a structure intended to keep design agile while OpenAI scales engineering.²
Still, creating an entirely new category of consumer hardware isn’t a sprint. This is a multi-year project, and patience will be essential.
A global contest for AI leadership
Altman’s ambitions stretch well beyond consumer gadgets. The battle for AI supremacy is intensifying, with new contenders like China’s DeepSeek raising the stakes; coverage this year judged some DeepSeek models competitive with leading Western systems, rattling markets and incumbents.³
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To supply the colossal compute such systems demand, OpenAI and Oracle recently announced plans to add 4.5 GW of U.S. data-centre capacity under “Stargate”, expanding infrastructure for future models.⁴ (Other large-scale “Stargate” proposals have been reported previously; specifics and participants may evolve.)
Japan’s strategic role
Japan figures prominently in Altman’s plans. On recent trips — and now with an on-the-ground presence — he has underlined opportunities for collaboration with Japanese firms, especially around chips and research. OpenAI opened a Tokyo office in April 2024 and introduced a model tuned for Japanese, reinforcing longer-term partnership goals.⁵
The question everyone’s asking
Could this be the next “iPhone moment”? On paper, the formula is compelling:
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A trailblazing AI company already reshaping the digital world.
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One of the most acclaimed product designers in history.
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An industry worth trillions, eager for the next big shift in how humans and machines connect.
If Altman and Ive succeed, they could define the next era of personal technology. If not, this vision risks becoming another bold but unrealised idea in the fast-moving world of innovation. For now, the tech world watches — and waits.
Footnotes
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Reuters — OpenAI buys iPhone designer Ive’s hardware startup: https://www.reuters.com/business/openai-acquire-jony-ives-hardware-startup-io-products-2025-05-21/
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OpenAI — “A letter from Sam & Jony” (Ive/LoveFrom remain independent): https://openai.com/sam-and-jony/
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Financial Times — “What DeepSeek’s AI really means for the market”: https://www.ft.com/content/98e55df3-9da8-467c-950d-b469ad2ea621
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OpenAI — “Stargate advances with partnership with Oracle (4.5 GW)”: https://openai.com/index/stargate-advances-with-partnership-with-oracle/
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Reuters — “OpenAI bids for Japan business as it opens Tokyo office”: https://www.reuters.com/technology/openai-bids-japan-business-it-opens-tokyo-office-2024-04-15/