OpenAI aims for its speaker to have a lifelike quality, while Apple claims it's a copied concept.

OpenAI aims for its speaker to have a lifelike quality, while Apple claims it's a copied concept.
Summary
OpenAI plans to create a screen-free smart speaker as an AI-first home device.
The device aims for personal interaction, drawing on user information for responses.
Apple has sued OpenAI over alleged misuse of trade secrets from former employees.

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Just over a year ago, OpenAI's CEO Sam Altman revealed ambitious plans for the company to create an AI-centric device with the collaboration of renowned Apple designer, Jony Ive. Recent insights, as reported by Bloomberg on Tuesday, suggest we might finally glimpse what this innovative gadget could entail.

While specifics have been limited, sources indicate that the anticipated device will function as a “screen-free smart speaker,” envisioned to serve as a novel type of home computer tailored for the AI-driven landscape. This device aims to interact in a “human-like” manner, featuring smart speaker attributes that facilitate control over household appliances, media playback, message responses, and information retrieval through OpenAI's ChatGPT technology.

According to Bloomberg's insiders, the device will possess AI capabilities that enable deeper personal interactions with users. It is expected to become increasingly personalized and proactive, utilizing data such as personal emails. The inclusion of mechanical components designed to move autonomously could provide users with the impression that the device possesses a semblance of life, rather than merely reacting to commands.

As of now, OpenAI has not responded to inquiries from Fortune regarding the device's development.

The landscape for AI-focused home gadgets is still nascent. While Amazon and Google have integrated AI functionalities into their pre-existing smart speakers, Google recently introduced a new Google Home speaker specifically developed for its Gemini AI. However, initial reviews for this product have been mixed; critics have acknowledged its advanced conversational abilities and features like the Gemini Live chat but have also pointed out issues with the device sometimes misinterpreting questions or becoming confused during exchanges.

Currently, there are only a limited number of true AI-first devices on the market. One such example, which resembles what OpenAI is reportedly planning, is ElliQ. Developed by Intuition Robotics and launched in 2022, ElliQ is designed for older adults, presenting a lamp-like appearance complete with moving parts. Similar to OpenAI's concept, it aims to provide companionship by engaging users throughout the day with humor and questions. Its AI technology evolves to become more tailored to individual users and assists with monitoring wellness metrics such as heart rate and blood pressure.

Startup Humane also unveiled a hands-free AI pin as a smartphone alternative, but faced backlash over performance issues and overheating. Ultimately, HP discontinued the product after acquiring the startup last year for $116 million.

While there is no confirmed launch date for OpenAI's device, the company’s chief global affairs officer, Chris Lehane, indicated earlier this year that a reveal could happen in the latter half of 2023. Despite being in developmental stages, this new AI-centric product has already generated a competitive stir among established technology companies.

Recently, Apple initiated legal action against OpenAI and two of its former employees who transitioned to the startup, filing a suit in the U.S. District Court for the Northern District of California. Apple accuses OpenAI of utilizing insider information from ex-employees to boost its fledgling hardware division, alleging that there were inappropriate inquiries into confidential projects and the solicitation of prototypes.

In response, an OpenAI spokesperson stated that the company is not interested in other organizations' trade secrets and is dedicated to crafting innovative technology aimed at benefiting users globally.

The introduction of OpenAI’s new device could enhance the company’s prospects as it gears up for a potentially record-setting initial public offering (IPO) after filing necessary documentation last month. Though the timeline for a public listing remains uncertain, OpenAI is keen to leverage the substantial investments it has secured over recent years.

Last year, OpenAI made headlines by acquiring Jony Ive’s design firm, IO, for an impressive $6.5 billion, marking the beginning of a partnership to realize its AI-first vision. Altman has expressed that the company’s goal is to create a range of products that could potentially replace traditional smartphones and computers. As he noted during an OpenAI podcast in June, the conventional understanding of computers, software, and hardware was shaped in an era devoid of AI; now, as society evolves, so too must the technology we utilize.

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