Sam Altman reverses his stance on AI hardware as current computers can’t meet the demands

OpenAI is collaborating with Jony Ive to develop a screen-free AI device, aiming to replace traditional gadgets with a purpose-built companion.

OpenAI has launched GPT-5, offering free access to all users and claiming performance comparable to a PhD-level expert.

Sam Altman, CEO of OpenAI, has returned from his earlier position, saying that AGI would not need new hardware.

Speaking on a podcast with his brother, Altman said current computers are no longer suited for the fast-evolving demands of AI. Instead of relying on standard hardware, he now believes new solutions are necessary.

OpenAI has already started developing dedicated AI hardware, including potential custom chips, marking a shift from using general-purpose GPUs and servers.

Altman also hinted at a new device — not a wearable, nor a phone — that could serve as an AI companion. Designed to be screen-free and aware of its surroundings, the product is being co-developed with former Apple design chief Jony Ive.

The collaboration, however, has run into legal trouble. A federal judge recently ordered OpenAI and Ive to pause the promotion of the new venture after a trademark dispute with a startup named IYO, which had previously pitched similar ideas to Altman’s investment firm.

OpenAI’s recent $6.5 billion acquisition of io Products, co-founded by Ive, reflects the company’s more profound commitment to reshaping how people interact with AI.

Altman’s revised stance on hardware suggests the era of purpose-built AI devices is no longer a vision but a necessary reality.

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