OpenAI’s Jony Ive-designed AI device faces delay over computing limits

OpenAI’s palm-sized artificial intelligence (AI) companion device, designed in collaboration with former Apple executive Jony Ive, is facing critical computing power shortages that could delay its release past 2026, according to sources familiar with the project who spoke to the Financial Times.

The ChatGPT maker acquired Ive’s startup io for $6.5 billion in May. Now, technical hurdles threaten the ambitious project.

“Compute is another huge factor for the delay,” a person close to Ive said. “Amazon has the compute for an Alexa, so does Google, but OpenAI is struggling to get enough compute for ChatGPT, let alone an AI device—they need to fix that first.”

The screenless device would be using cameras, microphones, and speakers to interact with users. It’s designed to sit on a desk or slip into a pocket, constantly monitoring its surroundings without needing a wake word like “Hey Siri.”

Being this always-on demands massive cloud computing resources. OpenAI already struggles to meet ChatGPT’s computational demands, serving over 700 million users weekly.

Beyond computing constraints, engineers are working to balance the AI assistant’s personality—helpful but not overly eager, conversational without being clingy.

“Model personality is a hard thing to balance,” a source close to the project said. “It can’t be too sycophantic, not too direct, helpful, but doesn’t keep talking in a feedback loop.”

The device’s continuous monitoring also raises questions about data collection and user surveillance.

CEO Sam Altman envisions shipping 100 million units eventually. At OpenAI’s developer conference on Monday, he acknowledged the challenges ahead.

“Hardware is hard. Figuring out new computing form factors is hard,” Altman said at a media briefing. “I think we have a chance to do something amazing, but it will take a while.”

The project represents OpenAI’s first major hardware initiative as it seeks to justify its $ 50 billion valuation. Success would mean competing directly with established players like Amazon’s Echo and Google’s Home devices.

Ive hopes the devices will transform how people interact with technology. At Monday’s conference, he said they should “make us happy, and fulfilled, and more peaceful, and less anxious, and less disconnected.”

OpenAI has recruited dozens of former Apple and Meta hardware experts. The company is reportedly working with Chinese manufacturer Luxshare, though assembly might occur outside China.

Previous AI hardware attempts have struggled. Humane’s AI pin was discontinued after poor sales. The Friend necklace faced criticism for its intrusive personality.

A person close to OpenAI characterized these challenges as normal product development issues. Still, with computing infrastructure already stretched thin, the company must solve fundamental problems before Altman’s vision becomes reality.