Accused of Theft, OpenAI Suddenly Unveils a 'Magic Speaker'

OpenAI’s plan to launch hardware has been brewing since 2025, when the AI giant acquired a startup owned by Jony Ive, the former iPhone designer. Many speculated that OpenAI would create an AI device to replace mobile phones in the future.

Recently, Apple also sued OpenAI, accusing it of stealing company secrets through the recruitment of former executives and poaching hundreds of its employees. Amid the ongoing legal process, OpenAI was suddenly reported to be launching its first consumer electronic device.

It turns out it is not a phone, but a device resembling a smart portable speaker, according to a Bloomberg report. The device is considered capable of opening a new revenue stream for OpenAI ahead of its initial public offering (IPO).

In 2025, OpenAI acquired io, an AI device startup owned by Jony Ive, for US$6.5 billion. The acquisition was touted to support OpenAI’s grand plan to introduce new devices in the generative AI era.

The speaker-like product is still in the development stage and is designed to function as a human-like AI companion in the home, according to the Bloomberg report citing sources familiar with the matter.

The report stated that the device will be able to control smart home appliances, play media, answer questions, respond to messages, and utilise the broader capabilities of OpenAI’s ChatGPT. The device is equipped with a camera and numerous sensors to understand the user’s surroundings, allowing it to perform tasks based on relevant context. The device is also said to use advanced AI models that surpass the capabilities of conventional smart speakers.

The report also mentioned that Ive’s studio, LoveFrom, is helping to build OpenAI’s hardware business, involving several former Apple designers and engineers who worked on products like the iPhone and Mac. OpenAI did not immediately respond to a request for comment from Reuters.