Jony Ive Partners with OpenAI in $6.5bn Deal to Revolutionize Tech

Sir Jony Ive's entry into OpenAI marks a significant shift in technology design, promising a new era of hardware inspired by AI advancements.

Sir Jony Ive, the acclaimed British designer known for shaping Apple's most iconic products, has officially teamed up with OpenAI, the powerhouse behind ChatGPT, in a remarkable $6.5 billion deal. OpenAI's CEO, Sam Altman, expressed his excitement about bringing on what he calls "the greatest designer in the world," hoping to leverage Ive's visionary skills to craft a new wave of AI-powered computing devices.

This acquisition involves OpenAI buying Sir Jony's startup, io, a company formed to tackle design challenges in combining AI with new hardware. Both firms announced that Sir Jony will take on significant design and creative responsibilities within OpenAI. His goal will be to assist in developing a next-generation suite of computing devices that fundamentally alter how users interact with technology.

With recent advancements in AI software, the creation of consumer-grade hardware has been an uphill battle, marred by lackluster attempts that often attracted scorn from critics. However, Altman remains optimistic about this partnership's potential to succeed. "We have the opportunity to completely re-imagine what it means to use a computer," he declared in a video accompanying the announcement.

Sir Jony sees the tech world on the precipice of a major transformation, stating, "We’re on the brink of a new generation of technology." He added that the initial product they've been developing has captured both his and Altman's imaginations, suggesting its potential impact could be substantial. In fact, Altman revealed he has already tested a prototype designed by Sir Jony's team, labeling it "the coolest piece of technology that the world will have ever seen."

Having spent 27 years at Apple, Sir Jony has been a pivotal force in the company's revival, crafting transformative products like the iPhone, iPod, iMac, and iPad. He departed Apple in 2019 to establish his own firm, LoveFrom, which has since collaborated with several well-known brands. Notably, LoveFrom had been secretly working with OpenAI for two years before the merger announcement, leading Sir Jony to conclude that their ambitions required the formation of a dedicated company.

Before the announcement, OpenAI already held a 23% stake in io. Analysts maintain that it would be unwise to underestimate Sir Jony’s ability to create disruptive products. Ben Wood, chief analyst at CCS Insight, noted that OpenAI likely desires a direct relationship with customers rather than relying on third-party devices from major tech players like Apple and Google.

While a few companies like Humane AI have attempted to launch devices tailored for the AI revolution, they have faced significant challenges, highlighting the complexities involved in this rapidly evolving tech landscape.

As OpenAI ventures into hardware, it joins other tech giants like Meta and Google, all seeking to explore new product avenues driven by AI advancements.