OpenAI is preparing to enter the consumer hardware market with its first physical product: a portable, screenless smart speaker shaped like a doughnut and priced between $300 and $400, according to a Bloomberg report citing people familiar with the plans.
The device, roughly the size of a hockey puck, features moving parts that shift during interactions, camera sensors, microphones, and dynamic lighting to signal when it is listening or responding. It runs on a rechargeable battery so users can carry it from room to room, a departure from stationary smart speakers like Amazon’s Echo or Apple’s HomePod.
OpenAI is collaborating with Jony Ive’s design firm LoveFrom on the product, according to the report. Ive, the former Apple chief design officer credited with the iPhone and iPod, co-founded LoveFrom after leaving Apple in 2019 and has been working with OpenAI on a family of AI-first devices.
The speaker is designed to deliver natural, humanlike conversations powered by advanced ChatGPT voice models that learn and adapt to individual users over time. Unlike existing smart speakers that primarily respond to commands, OpenAI’s device is intended to function more as an AI companion with its own personality.
OpenAI plans to unveil the device later this year ahead of a 2027 market release. The company views it as the first product in a broader hardware lineup that could eventually include devices positioned to challenge smartphones, the report said.
The launch comes amid a legal dispute with Apple, which filed a lawsuit in July accusing OpenAI of stealing trade secrets to develop its hardware. Apple alleges that OpenAI’s chief hardware officer Tang Tan and former employee Chang Liu improperly shared confidential information. OpenAI has asked a judge to dismiss Apple’s case.
Apple’s lawsuit specifically targets IO Products, the startup co-founded by Jony Ive, as a defendant. The complaint claims OpenAI asked hardware partners to replicate a metal finishing technique Apple developed, misleading them as though Apple had approved the work.
The product’s premium pricing places it above most consumer smart speakers but below Apple’s HomePod, positioning it in a mid-tier market where AI-powered voice interaction could appeal to early adopters. OpenAI’s push into hardware signals a strategic pivot as competition intensifies among AI companies seeking to control the user experience end-to-end.
Sources: Bloomberg, Android Headlines
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