The AI device startup could reportedly cost OpenAI upwards of $500 million (roughly Rs. 4,288 crore).
The AI startup is said to be building phone-like devices without screens and household gadgets
OpenAI is reportedly discussing the possibility of buying CEO Sam Altman and Jony Ive's artificial intelligence (AI) startup. The unnamed startup was reportedly founded last year and is building AI-powered devices. One of the designs was rumoured to be inspired by the original iPhone, although its functionality could be different. At the moment, it is unclear whether the company has a working prototype for any of the rumoured designs. As per the report, the San Francisco-based AI firm is considering a full acquisition as well as a partnership deal with the startup.
According to The Information, OpenAI is considering purchasing Ive and Altman's secret AI startup. Ive formerly worked at Apple as the company's Chief Design Officer and is credited for the design language of the original iPhone, which was launched in 2007. Notably, the design language of the planned AI devices is said to be handled by Ive's company, LoveFrom.
Citing unnamed sources familiar with the matter, the report claimed that OpenAI executives believe a full acquisition of the startup could cost the AI firm more than $500 million (roughly Rs. 4,288 crore). Additionally, OpenAI is said to be exploring options beyond acquisition, such as a partnership. However, the report did not mention the reason behind the company's interest in the startup.
The report also claimed that the AI startup is currently working on several product designs. One of them is said to be a phone-like device without a screen. Previous reports have claimed that the device could be inspired by the first iPhone. However, the publication adds that the device will not function as a phone. Apart from this, the startup is reportedly also working on product designs of AI-powered household gadgets.
In case the acquisition is finalised, the startup's product engineering team would also be included in the deal, the report claimed. However, it is said that former Apple designers Tang Tan and Evans Hankey might not join OpenAI.
As per a previous report, Ive was introduced to Altman through Airbnb CEO Brian Chesky, one of the early clients of LoveFrom. The OpenAI CEO is reportedly not a co-founder of the company, but he is said to be involved with the project. However, his financial stake in the company is not known.
Get your daily dose of tech news, reviews, and insights, in under 80 characters on Gadgets 360 Turbo. Connect with fellow tech lovers on our Forum. Follow us on X, Facebook, WhatsApp, Threads and Google News for instant updates. Catch all the action on our YouTube channel.