OpenAI CEO Sam Altman detailed his vision for an artificial intelligence companion device during a recent podcast appearance, describing plans for “ambiently aware” hardware that could fundamentally change how users interact with technology beyond traditional smartphones.
AI Companion Designed for Proactive Context
Speaking with Zerodha co-founder Nikhil Kamath, Altman outlined the limitations of current computing devices. “A computer or a phone, you know, it’s kind of either on or off,” Altman said. “But you might want AI to just be… like a companion with you throughout your day.”
The OpenAI chief emphasized that AI systems require maximum context to function effectively, alerting users when assistance is needed and proactively managing tasks. “The sort of sci-fi dream of the AI companion” requires hardware beyond current form factors, according to Altman.
When pressed about his collaboration with former Apple Inc. (NASDAQ:AAPL) design chief Jony Ive, Altman confirmed multiple product experiments. “We’ll try multiple products. But I think this idea of… trying to build hardware that… an AI companion can sort of embody itself in will be an important thread.”
$6.5 Billion Acquisition Finalizes Strategic Partnership
OpenAI completed its $6.5 billion acquisition of Ive’s AI hardware startup io Products in July, officially bringing the iPhone designer and approximately 55 engineers into the company. The all-stock transaction includes key Apple veterans Tang Tan, Evans Hankey and Scott Cannon.
Ive’s LoveFrom design firm maintains independence while taking “deep design and creative responsibilities” at OpenAI. The first product reportedly will be a pocket-sized or desktop device offering screen-free, context-aware interactions rather than a wearable.
Competitive Threat to Apple’s Ecosystem
Gene Munster, managing partner at Deepwater Asset Management, characterized OpenAI as “the first serious competitive threat to Apple in two decades.”
However, Munster noted Apple’s ecosystem strength, with 1.7 billion users across 2.35 billion active devices, provides significant protection. “It’s going to take more than a great phone from OpenAI to get Apple users to walk away from a decade of investment in hardware and services,” he said.
Steve Jobs‘ widow Laurene Powell Jobs has invested in both Ive’s LoveFrom and io Products, expressing cautious optimism while maintaining close Apple leadership relationships.
Market Position and Financial Outlook
OpenAI’s annual recurring revenue reached $10 billion in 2025, nearly doubling from $5.5 billion in 2024, driven by ChatGPT demand. The Pentagon awarded the company a $200 million AI tools contract, strengthening its financial position for hardware development.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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