OpenAI has begun a sustained push into consumer devices, hiring senior designers and engineers from Apple while courting major iPhone suppliers. The company acquired io Products for $6.5 billion earlier this year, gaining a design studio led by Jony Ive and Tang Tan. Industry sources say OpenAI offers large equity packages and a flatter management structure to attract talent.
Tang Tan, a former employee of Apple's hardware programs, is in charge of OpenAI hardware. He hired Apple designers and manufacturing experts in the human interface and watch groups. Recruits consist of long-term engineers who have experience in both products and manufacturing. The recruits will focus on speeding up the product development and reducing the usual hardware schedule.
OpenAI is negotiating with established Chinese suppliers to secure production capacity. Luxshare has agreed to manufacture at least one device. Goertek has received inquiries about speaker modules. The moves reflect Apple supplier connections, which offer access to proven manufacturing lines.
The company’s roadmap reportedly includes a screenless smart speaker, smart glasses, a voice recorder, and a wearable pin. OpenAI targets launch in late 2026 or early 2027. Executives describe the approach as building an ecosystem of AI-first devices that complement existing phones and computers.
The io Products acquisition brought design credibility through Ive’s LoveFrom connection. Ive operates LoveFrom while spending more time at OpenAI’s San Francisco office. His involvement gives the project visible leadership and a direct link to Apple-era design practices.
Apple has noticed the recruitment trend. Company sources say Apple cancelled a senior offsite in China, citing retention concerns. The move reflects unease over executive departures and supplier outreach by a former partner.
OpenAI and Apple are still forming business partnerships in fields like voice and image services. Those connections remain despite OpenAI developing devices that might compete with Apple products. The relationship now involves a mix of collaboration and competition.
Success in hardware involves the ability to chain, software integration, and customer confidence. OpenAI's strong AI models are introduced to its device plans. The company still needs to demonstrate that it can provide reliable products on scale. The observers will monitor hires, supplier contracts, and early prototypes for progress.
If OpenAI delivers competitive devices, it is possible to put pressure back on incumbent manufacturers. The next 18 months are expected to decide whether the company can transform research and design into mass-market hardware. Based on market responses, competitors will rapidly adapt.
Investors and industry analysts will observe schedules, production, feedback, and regulatory inspections. Early demos and reviews will determine consumer confidence. In the long run, OpenAI's capability to control supply chains and after-sales services will determine its competitiveness. Launch dates change at will.
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