Jony Ive’s AI Device Startup Acquired by OpenAI in $6.5 Billion Deal

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In a bold move, OpenAI just bought the startup AI device of Jony Ive for $6.5 billion. That’s a huge deal in the tech world. But why does it matter?

Jony Ive is the man behind the design of the iPhone, iPad, and MacBook. He helped shape how we use modern tech. Now, he’s teaming up with one of the biggest names in artificial intelligence. That’s exciting and a little surprising.

We’ve seen AI in apps and chatbots. But now, it’s heading into the real world. This deal shows that AI is not just about software anymore. It’s about how we live, work, and connect.

What happens when powerful AI meets smart, human-centered design? That’s what this deal is all about. And it could change the way we interact with technology, again. 

Let’s explore how this new partnership may shape the future of AI devices.

The Startup: Jony Ive’s AI Device Venture

In 2024, Jony Ive started a new company called io. He worked with Sam Altman, the CEO of OpenAI. The goal was to build smart devices using AI. These devices would fit into daily life easily.

A team of 55 people joined the project. They were engineers, designers, and researchers.

The team wanted to make tools that feel natural to use. Not like smartphones, but even simpler and smarter. They planned to build devices that help us without getting in the way.

Why OpenAI Acquired the Startup?

OpenAI bought io because it wants to go beyond just software. It now wants to build smart gadgets that people can use every day. These gadgets will be simple and easy to use with Jony Ive’s design skills. They won’t feel like normal tech.

Together, they plan to make tools that act like “extra brains.” These tools will help with everyday tasks using powerful AI.

Financial and Strategic Details of the Deal

The acquisition, valued at $6.5 billion, is OpenAI’s largest to date. The deal is structured as an all-stock transaction, consolidating OpenAI’s existing 23% stake in io. 

As part of the merger, Jony Ive will assume significant creative and design responsibilities across both OpenAI and io. 

Industry Reactions and Expert Opinions

The tech industry has responded with keen interest to the OpenAI-io merger. Analysts view the acquisition as a strategic move for OpenAI to establish a foothold in the consumer hardware market, directly competing with tech giants like Apple and Google. 

The collaboration is seen as a fusion of advanced AI capabilities with world-class design, potentially setting new standards for AI-integrated devices.

What It Means for the Future of AI Hardware

This deal is a big change in the tech world. It shows that hardware is now key in the future of AI.

Smart devices will soon know more about us. They will learn from how we live and give us better help. These tools will look great and work well with Jony Ive leading design. They might even change how we use technology every day.

Wrap Up

The joining of OpenAI and io is a bold move toward the future. It mixes strong AI skills with smart and simple design. OpenAI brings the brain. Jony Ive brings beauty. Together, they plan to build new kinds of devices.

These tools will help us use tech in easier and smarter ways. As this team works together, the tech world is excited. Everyone is waiting to see what they will create, and how it might change the way we live with AI.

Frequently Asked Questions (FAQs)

How much did Jony Ive make at Apple?

In 2011, Jony Ive reportedly earned a $30 million base salary and received $25 million in stock options. Later, his compensation details were not publicly disclosed.

What is io Jony Ive?

io is an AI hardware startup founded by Jony Ive in 2024. The company aimed to develop innovative AI-powered devices that seamlessly integrate into users’ daily lives.

What is io and OpenAI?

OpenAI acquired io, Jony Ive’s AI hardware startup, in May 2025 for approximately $6.5 billion. This acquisition marks OpenAI’s strategic entry into the consumer hardware market, combining advanced AI with innovative design.

What did Jonathan Ive do for Apple?

Jonathan Ive was Apple’s Chief Design Officer, leading the design of iconic products like the iMac, iPod, iPhone, iPad, and Apple Watch. His minimalist design approach significantly influenced Apple’s product aesthetic.

Disclaimer:

This content is for informational purposes only and not financial advice. Always conduct your research.
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