OpenAI and JonyIve to raise $1bn for AI device venture from SoftBank

OpenAI has advanced discussions with former Apple designer, Sir Jony Ive, and SoftBank Masayoshi Son about launching a venture that will build an “iPhone for artificial intelligence” with funding of more than $1bn from the Japanese conglomerate.

Three people familiar with the plans say that Sam Altman, OpenAI chief, has hired Ive’s LoveFrom company, which he founded after he left Apple, in 2019 to create the ChatGPT creators’ first consumer device.

Altman and ive held brainstorming sessions in the San Francisco studio of the designer to discuss the design of a new product based on OpenAI technology, according to the people.

The goal is to provide a more intuitive and natural user interface for AI in the same way that iPhone innovations in touchscreen computing opened up the potential of mobile internet to a mass market.

They said that the process of identifying an idea or design is still in its early stages, with many ideas being considered.

Son, SoftBank’s founder and CEO, was also involved in some of these discussions . He pitched a central role to Arm, the chip designer that the Japanese conglomerate owns a 90% stake in, as well as providing financial backing.

Son, Altman, and Ive discussed creating a new company that would combine talent and technology of their three groups. SoftBank invested more than $1bn into the venture.

They warned that although the discussions are “serious”, no agreement has yet been reached and it may be months before an official announcement is made. It will take several years before any hardware product can be brought to market.

OpenAI, SoftBank, and LoveFrom declined comment. The Information has previously covered some of the product discussion.

I played a key role in the development of the first iPhone in 2007. This was the beginning of a new age of personal computing.

Silicon Valley has been thinking about what could be the next big consumer electronic device as the smartphone market plateaus.

Potential has been touted for virtual reality headsets like Meta’s Quest, and smart speakers like Amazon’s Echo. Nothing has yet to match the smartphone as an essential tool for millions of people.

Ive is concerned about the compulsive behaviour of some smartphone users. In 2018 , he told Apple had a’moral responsibility’ to mitigate unintended iPhone consequences such as addictive applications. He also said that he limits the screen time of his children.

According to those familiar with his ideas, the project with OpenAI offers an opportunity to create an interface with computers that relies less on screens.

OpenAI has announced improvements to ChatGPT this week, which include the ability to control it by voice, or uploading an image, and allow it to browse web.

The Wall Street Journal reported Tuesday that OpenAI – a San Francisco based company backed by Microsoft – was considering an share sale. This would triple the valuation of this San Francisco based company in less than one year.