OpenAI acquired Jony Ive’s startup io for $6.5B earlier this year.
The device is planned as a palm-sized, screen-free AI gadget.
Privacy and usability issues threaten its 2026 release schedule.
OpenAI is once again making headlines. The ChatGPT maker, which previously collaborated with former Apple design chief Jony Ive, is reportedly facing significant challenges in developing a new artificial intelligence device, according to the Financial Times. While the type of device and features remain unknown, the company is reportedly planning to unveil it as early as next year.
SurveyAccording to the report, the project involves creating a palm-sized device with no screen that will interact with users through audio and visual input from the physical environment. It is part of OpenAI’s hardware push, which began earlier this year with the $6.5 billion acquisition of io, a startup founded by Ive and backed by OpenAI CEO Sam Altman. At the time of the acquisition, Altman stated that the partnership would focus on developing a new generation of AI-powered computers. Bloomberg previously reported that the first device was set to be released in 2026.
According to sources familiar with the situation, the team is still working to resolve outstanding issues regarding the product’s functionality and user experience. These include defining the device’s “personality,” determining how to protect user privacy, and ensuring compatibility with OpenAI’s computing infrastructure.
One of the primary challenges is the planned “always on” design. Unlike current AI assistants, which require a specific verbal prompt, the device is designed to engage automatically, speaking up only when it has useful input and ending conversations at the appropriate time. According to the FT, engineers struggled to make this feature work smoothly without becoming intrusive or unresponsive.
However, the device’s active listening and observation capabilities may also raise questions about privacy and how the data will be handled and stored. These concerns, along with ongoing technical difficulties, may delay the product’s debut beyond the 2026 timeframe.
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Ashish Singh
Ashish Singh is the Chief Copy Editor at Digit. He's been wrangling tech jargon since 2020 (Times Internet, Jagran English '22). When not policing commas, he's likely fueling his gadget habit with coffee, strategising his next virtual race, or plotting a road trip to test the latest in-car tech. He speaks fluent Geek. View Full Profile
