OpenAI's Bold $6.4bn Bet on Jony Ive's Secret Startup io: A New Era for AI Hardware
The Guardian•6 hours ago•
820

OpenAI's Bold $6.4bn Bet on Jony Ive's Secret Startup io: A New Era for AI Hardware

AI & Hardware
ai
hardware
startup
innovation
openai
Share this content:

Summary:

  • OpenAI acquires Jony Ive's startup io for $6.4bn, its biggest purchase yet

  • Partnership between Sam Altman and Jony Ive aims to merge AI with innovative hardware design

  • Ive's LoveFrom collective will design OpenAI's software and hardware, though he won't join as an employee

  • OpenAI is building a hardware and robotics team, signaling a move into physical AI products

  • With a $300bn valuation, OpenAI continues to attract massive investments, including from Microsoft and SoftBank

OpenAI has made headlines with its $6.4bn acquisition of io, a startup founded by Apple design legend Jony Ive. This marks OpenAI's largest purchase to date, signaling a significant shift towards integrating AI with cutting-edge hardware design.

The Vision Behind the Acquisition

Jony Ive, renowned for his work on the iPhone, iPod, and MacBook Air, teamed up with OpenAI CEO Sam Altman to create io. The partnership, two years in the making, is built on shared values and ambition. While details on upcoming devices remain under wraps, the duo hints at tangible designs emerging from their collaboration.

Jony Ive's Legacy and Future with OpenAI

After a 27-year tenure at Apple, Ive left in 2019 to start LoveFrom, a creative collective. io, part of LoveFrom, will now merge with OpenAI, focusing on designing OpenAI's software and hardware. Interestingly, Ive won't join OpenAI as an employee but will lead design efforts through his company.

OpenAI's Hardware Ambitions

OpenAI has been quietly assembling a hardware and robotics team, including Caitlin Kalinowski, former head of Meta's AR glasses project. The company's investments in Physical Intelligence, a robotics startup, further underscore its commitment to bringing AI into the physical world.

Financial Backing and Market Position

With a $300bn valuation, OpenAI continues to attract massive investments. Recent funding rounds, including a $40bn SoftBank-led round, highlight investor confidence. Microsoft's 49% stake following a $13bn investment in 2023 also plays a crucial role in OpenAI's growth strategy.

Other Strategic Moves

In addition to io, OpenAI has acquired Windsurf ($3bn) and Rockset, diversifying its portfolio and strengthening its position in the AI landscape.

Comments

0
0/300
Newsletter

Subscribe our newsletter to receive our daily digested news

Join our newsletter and get the latest updates delivered straight to your inbox.

ListMyStartup.app logo

ListMyStartup.app

Get ListMyStartup.app on your phone!