Relay, an AI-driven workflow automation tool designed as an alternative to Zapier, ceased operations in August. This tool allowed users to streamline email and task processes using AI agents. However, as major companies like OpenAI and Google began integrating similar automation features into their applications, the five-year-old Relay found it increasingly challenging to justify its existence as an independent product.
In addition to Relay’s shutdown, the chatbot platform Character.ai has also filed for bankruptcy only five years after its debut.
Beyond these two, many AI ventures don’t even last within the companies that create them. S&P Global Market Intelligence reports that roughly 42% of AI projects are ultimately abandoned by their parent companies. The factors behind these failures include inadequate funding, technical hurdles, intense competition, scalability issues, or simply a lack of user engagement.
This trend has led to a growing list of abandoned AI products. Below, we highlight some notable AI initiatives, startups, and features that have either pivoted, shut down, or significantly underperformed. Rather than merely marking failures, this serves as an informative record that could benefit the broader industry.
Even industry leaders like OpenAI face challenges
Image Credits: SeongJoon Cho/Bloomberg / Getty Images
OpenAI, a prominent player in the tech space and one of the world’s most valuable private firms, has experienced its share of failures and setbacks. A recent instance was its attempt to transform ChatGPT into an all-encompassing “super app.” On July 9, OpenAI released an update aimed at unifying various features, such as the distinct “Chat,” “Codex,” and “Work” modes, while introducing a “ChatGPT Classic” label for the original version.
However, the redesign was met with quick backlash from users who found the new layout confusing and cluttered, prompting OpenAI to revert to the previous interface shortly after.
OpenAI has also consolidated several standalone applications into ChatGPT, a strategy that has generally been more successful than the app redesign. The independent ChatGPT Atlas, a web browser powered by AI, was discontinued on August 9, less than a year after its launch, with its useful features integrated into ChatGPT.
Similarly, the Operator tool, designed to act as a web-browsing AI agent to assist users in various tasks, has been absorbed into ChatGPT, further diminishing DALL-E's role as a platform for image creation. Additionally, the company faced challenges with its video-sharing service, Sora, shutting it down in March 2026 due to high operating costs and difficulties in retaining users.
Apple's Siri AI
Image Credits: Artur Widak/NurPhoto / Getty Images
In 2024, Apple introduced Apple Intelligence, which prominently featured an enhanced version of Siri. The new version suggested greater contextual awareness and the ability to handle tasks across different applications efficiently.
However, Apple has repeatedly delayed the rollout of this updated Siri, citing engineering problems and bugs as reasons. These postponements ultimately led to a $250 million settlement over accusations of misleading marketing regarding the AI capabilities of the iPhone 16.
The new Siri finally made its debut in the July beta of iOS 27, with the rollout to English-speaking users taking place this month, followed by plans for support in additional languages.
Microsoft's Recall
Image Credits: Microsoft
During its 2024 Build developer conference, Microsoft unveiled Recall, touted as an AI-infused “photographic memory” feature for Windows PCs. This tool promised to intermittently capture screenshots to allow users to search back through their digital history.
The announcement sparked immediate concerns regarding privacy and security, as critics worried Recall could create a searchable archive of sensitive information like passwords and private messages. This backlash prompted Microsoft to delay the feature for almost a year to enhance its security measures.
Even after a redesign, privacy concerns lingered. A recent cybersecurity researcher developed a tool capable of extracting and displaying data captured by Recall, reigniting questions about whether Microsoft has adequately addressed the underlying issues.
Notion Mail
Image Credits: Notion
Notion Mail was launched in April 2025 as an AI-driven email tool aimed at helping users manage and streamline their inboxes. However, the company discovered that users preferred to utilize separate AI agents for email management. Consequently, Notion Mail is set to be discontinued on September 22.
Humane AI Pin
Image Credits: Brian Heater
The Humane AI Pin gained notoriety as a notable failure in the AI hardware sector. Designed to deliver AI capabilities through a wearable device, Humane attracted $230 million in investor funding and substantial attention.
However, the product faced severe performance issues, worsened by warnings to customers about potential fire risks associated with its charging case. Ultimately, the company shut down its AI Pin venture in February 2025, with HP acquiring most of its assets for $116 million.
Rabbit R1
Image Credits: Rabbit
The Rabbit R1 emerged as another highly promoted AI device. Launched at CES in January 2024, it was tailored to act as an AI companion to manage tasks for its users. Despite claiming to sell 100,000 units shortly after release, early reviews criticized its performance as unreliable and described it as lacking crucial integrations.
Nevertheless, the company continues to improve the R1, now marketing it as a computer controller capable of executing various tasks. Additionally, they have recently announced a new hardware venture dubbed “Project Cyberdeck,” focused on building a portable device designed for vibe-coding.
Huxe
Image Credits: Huxe
Huxe was an AI audio application created by former developers of Google’s NotebookLM, allowing users to convert written content into conversational audio similar to podcasts. The company shut down in May 2026, partly because larger platforms began to offer analogous experiences to sizable audiences, such as Spotify’s expansion into AI-driven audio tools.
Yupp
Image Credits: Yupp
Yupp provided a unique AI platform that enabled users to compare the outputs of hundreds of AI models side by side while allowing them to vote on responses and earn cryptocurrency. At its peak, the platform supported over 800 models from well-known companies such as OpenAI and Google. However, according to its founders, Yupp ultimately failed to secure a significant product-market fit, leading to its closure in March 2026.
Figgs AI
Figgs AI operated between 2023 and 2024, offering users the ability to create and interact with customizable AI characters for role-playing and storytelling. Although the platform attracted over a million users, the developers cited the high costs of maintaining a free service as a reason for its shutdown.
