OpenAI’s largest acquisition brought Jony Ive — designer of the iPhone, iPod, iPad, and MacBook Air — into the fold for $6.5 billion.
The io Products Deal:
- $6.5 billion acquisition (closed July 2025)
- 55 engineers, many former Apple employees
- LoveFrom design firm takes “deep design and creative responsibilities” across OpenAI
- First hardware products expected in 2026
The Vision: “Pocket-Sized, Screen-Free”
Ive told The New York Times he was motivated partly by disillusionment with the iPhone’s impact on attention and anxiety:
“I shoulder a lot of the responsibility for what these things have brought us.”
The Strategic Play:
If AI becomes the primary way humans interact with computing, owning the hardware means owning the relationship.
The Microsoft Carve-Out:
Microsoft’s IP rights explicitly exclude consumer hardware. OpenAI carved out the space to compete with its largest investor and partner.
OpenAI isn’t just building software — it’s building the interface layer between humans and AI.
This is part of a comprehensive analysis. Read the full analysis on The Business Engineer.









