Pocket-Sized, AI-Powered: OpenAI’s Mysterious New Device

OpenAI is on a new project to create its own AI smart gadget. You can expect it to be a small, pocket-sized device specially designed for AI models. However, it's not a phone or a computer. Recently, on the People by WTF podcast hosted by Zerodha co-founder Nikhil Kamath (in August 2025), Sam Altman called the modern phones "outdated." He emphasized a hands-free, constant digital companion to do everything. Is he building one now? Are we not satisfied with smartphones, laptops, watches, and glasses that we need one more? More interestingly, OpenAI has tapped Apple’s supplier Luxshare. Learn more. 

Who’s Making It for OpenAI?

• According to Reuters, OpenAI has signed a deal with Apple's supplier Luxshare to build its hardware. Luxshare is a renowned Chinese company that makes iPhones and AirPods for Apple.
• Additionally, OpenAI has also reached out to Goertek, which makes Apple's AirPods, Watches, and HomePods. This deal is specifically for the production of the device's speaker parts.
• All this means that OpenAI's new device is sure to be the next big thing. 

Why Is This Important?

• We already use AI on our phones, tablets, PCs, and more.
• But there isn't a separate device for it, meaning an "AI-native" product.
• Built to work with AI models.
• If such devices work out in the real world, it will change the face of the mobile industry forever. Using AI on a day-to-day basis can potentially drive this change.
• So, we can expect OpenAI to challenge tech giants like Apple, Samsung, and Google.

Backstory & Big Moves:

• On July 9, 2025, OpenAI officially merged with a hardware startup called io Products. It was built by Jony Ive, the famous ex-Apple designer. OpenAI closed the deal for $6.5 billion.
• And that's when the world knew that OpenAI and Sam Altman are serious about the hardware side of AI.

The face of personal devices is going to change soon. Because:

• OpenAI's device has already reached the prototype state.

Although we don't know what the design looks like, many suggest that they'll be:

• Pocket-sized (comfortable to carry).
• Context-aware (meaning it can understand you, your feelings, and accordingly respond better.
• The design will support different AI models, not just OpenAI.

Final Words…

The official confirmation is due, and no company has openly commented on the subject.