OpenAI announced Wednesday it is acquiring io, the artificial intelligence hardware startup founded by legendary Apple designer Jony Ive, in an all-equity deal valued at \$6.4 billion.
The acquisition brings Ive and his elite team of former Apple designers in-house, marking OpenAI’s boldest move yet into consumer hardware. Ive will assume “deep creative and design responsibilities” across both OpenAI and io, while his separate design firm, LoveFrom, will remain independent.
Io was launched a year ago by Ive alongside Apple veterans Scott Cannon, Tang Tan, and Evans Hankey. According to a joint blog post by Ive and OpenAI CEO Sam Altman, the team’s mission has been to develop AI-driven products that “inspire, empower and enable. ”
OpenAI, which already owns 23% of io, is paying \$5 billion to acquire the rest. The move follows OpenAI’s recent acquisition spree, including the \$3 billion purchase of AI coding tool Windsurf and a deal for analytics firm Rockset earlier this year.
The deal signals a major push by OpenAI to bring artificial intelligence into physical devices, an area competitors like Google and Elon Musk’s xAI are also aggressively exploring. OpenAI’s recent investments in robotics and physical intelligence technologies reinforce this strategic shift.
Ive, widely credited with designing Apple’s most iconic products—such as the iPhone, iPod, and MacBook Air—is expected to play a central role in shaping the form and function of OpenAI’s future hardware. His influence is likely to extend beyond aesthetics to how users will interact with AI in daily life.
Source: CNBC, OpenAI