May 22 2025 – Bloomberg has just unveiled a report highlighting a monumental move by OpenAI, which has agreed to acquire the AI device startup io, co-founded by former Apple Chief Design Officer Jony Ive, in an all-stock deal valued at nearly $6.5 billion. This acquisition marks the largest in OpenAI’s corporate history.
Upon reviewing public records, io was established through a collaborative effort led by Jony Ive, who teamed up with former Apple colleagues including Scott Cannon, Evans Hankey, and Tang Tan.
OpenAI and io had already forged a partnership in the fourth quarter of 2024, during which OpenAI secured a 23% stake in io. Building on this foundation, OpenAI is now acquiring io in exchange for $5 billion worth of equity.
Following the acquisition, io’s existing team of 55 professionals, comprising hardware engineers, software developers, and manufacturing experts, will be integrated into OpenAI’s workforce.
OpenAI CEO Sam Altman underscored that AI technology represents a monumental leap in human capabilities. However, to fully harness its potential, a new paradigm of computing is essential. Altman expressed his conviction that the collaboration with Ive will lead to the creation of “groundbreaking” consumer hardware products.
The duo has been brainstorming innovative ideas for the past two years, with their first device slated for a 2026 launch. Ive highlighted that the current market’s yearning for novel products reflects a widespread dissatisfaction with the status quo. Together with Altman, he aims to address this gap through innovation.
