OpenAI Acquires Jony Ive’s Startup io Products in $6.5 Billion Deal, Names Him Creative Head

OpenAI has acquired io Products, a hardware startup founded by legendary iPhone designer Sir Jony Ive, in a deal valued at USD6.5 billion. As part of the acquisition, Ive will join OpenAI as its Creative Head, bringing his iconic design legacy to the forefront of next-gen AI-powered devices.

The all-stock deal follows a two-year collaboration between OpenAI and LoveFrom, the design studio Jony Ive founded after leaving Apple. Their shared vision is to develop intuitive, human-centric hardware that complements the generative AI revolution, led by OpenAI’s flagship product, ChatGPT.

With generative AI becoming a cornerstone of modern computing, OpenAI aims to create intelligent devices that go far beyond today’s legacy smartphones and PCs. Jony Ive’s design leadership—credited with shaping the iPhone, iMac, and Apple Watch—will play a central role in this transformation.

According to sources familiar with the matter, OpenAI previously held a 23% stake in io Products, and the full acquisition aligns with OpenAI’s broader goal of becoming a vertically integrated AI-first hardware and software company.

In a video on OpenAI’s official blog, CEO Sam Altman and Jony Ive discussed their ambition to reimagine the products we use daily: “It’s just common sense to believe that there must be something beyond the legacy devices we rely on today,” said Altman.

This strategic move comes as other startups like Humane’s AI Pin have struggled to meet the hardware demands of real-time AI. With Jony Ive leading product design, OpenAI is positioned to lead the future of AI-integrated consumer devices.