OpenAI’s AI-Powered Device Might Launch Sooner than Expected, in Early 2027
In Focus
- OpenAI could start mass-producing its AI-powered phone in 2027
- The device will reportedly be powered by a custom chipset manufactured by MediaTek
- The AI developer started prototyping the device in November 2025
OpenAI’s AI phone could reportedly launch in early 2027 with mass production beginning in the first half of 2027. Details that leaked days ago show that the AI-centric phone’s processor design prioritizes energy efficiency and memory management.
Why Is OpenAI Fast-Tracking AI Phone Production?
OpenAI’s decision to fast-track its AI-powered smartphone is reportedly informed by various factors. These include its upcoming IPO and growing competition in the AI agent industry.
The AI-powered smartphone will reportedly be powered by a custom chipset manufactured by MediaTek.
“MediaTek currently appears better positioned to become the sole processor supplier, with the device set to use a customized version of the Dimensity 9600, built on TSMC’s N2P node in 2H26,” TF International Securities Analyst, Ming-Chi Kuo said in a post on X.
This is a shift from earlier reports where Qualcomm was reportedly under consideration to produce custom chips for OpenAI’s new device. Previously, Kuo had suggested that mass production of OpenAI’s device would start in 2028. Specification of the device and suppliers were to be finalized by the end of this year or early 2027.
OpenAI has been developing its first AI-native consumer product in partnership with former Apple design lead, Jony Ive. The company Ive’s startup, IO in a $6.5 billion deal. OpenAI started prototyping the hardware product in November 2025. While describing the prototype, Ive said it “completely captured” his imagination.
OpenAI’s AI Phone to Feature Redesigned ISP
OpenAI’s MediaTek chip will feature a redesigned Image Signal Processor (ISP) with an improved HDR pipeline. These features are aimed at delivering better photo quality. According to Kuo, the chip may also adopt a dual-NPU setup to handle different types of AI tasks more efficiently.
In addition, the MediaTek AI phone will likely use faster LPDDR6 memory alongside UFS 5.0 storage. On the security front, the processor could introduce technologies such as protected Kernel-based Virtual Machine (pKVM) and inline hashing to strengthen data protection.
If the development of an OpenAI phone stays on track, shipments could total around 30 million units across 2027 and 2028. While Kuo is known for reliable supply chain insights, the forecast should be treated cautiously, as OpenAI has not officially announced any plans to launch its own smartphone.
What Would an AI Smartphone Mean for OpenAI?
Should OpenAI realize its plan to launch an AI-centric smartphone, it will expand its influence from software and cloud-based AI systems to hardware systems. The device could give OpenAI direct control over how its AI tools are delivered to users.
Instead of relying on other smartphone makers, the company could design a device where AI is deeply integrated into everyday tasks like messaging, search, photography, and voice assistance.
The device could also create new revenue streams for OpenAI. With a smartphone, the AI developer could combine hardware sales with subscriptions or premium AI services to create an interconnected revenue ecosystem.
