OpenAI rumored to build AI agent smartphone with partners

Industry analyst Ming-Chi Kuo reported that OpenAI is developing a smartphone featuring AI agents to replace traditional apps. The device would involve partnerships with MediaTek, Qualcomm for chip design, and Luxshare for manufacturing. Specifications and suppliers are expected to be finalized by late 2026 or early 2027, with production in 2028.

Ming-Chi Kuo shared details on X over the weekend about OpenAI's entry into smartphone hardware. He stated that MediaTek and Qualcomm are designing a custom chip, while Luxshare serves as a co-design and manufacturing partner. This aligns with chips powering premium Android phones in 2026, such as Qualcomm's Snapdragon 8 Elite Gen 5 and MediaTek's Dimensity 9500. Kuo emphasized that AI agents would form the core of the phone, handling tasks across apps and eliminating the need for individual applications. > Users are not trying to use a pile of apps. They are trying to get tasks done and fulfill needs through the phone. This fundamentally changes how people think about smartphones. OpenAI has shown hardware ambitions before, including AI earbuds planned for later this year or early 2027 and a collaboration with former Apple designer Jony Ive. Rumors suggest up to five devices by the end of 2028. The company has also shifted focus, reportedly axing its Sora video generator and pausing a ChatGPT 'adult mode' to prioritize a productivity 'super app' based on the Codex tool. OpenAI did not immediately respond to a request for comment.

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Conceptual render of Amazon's rumored AI-focused Transformer smartphone displaying Alexa, shopping, and Prime Video features.
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Amazon reportedly developing AI-focused Transformer smartphone

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More than a decade after the failed Fire Phone, Amazon is reportedly working on a new smartphone codenamed Transformer. The device would emphasize AI features, Alexa integration, and easy access to Amazon services like shopping and Prime Video. The project remains in early stages with no confirmed release plans.

OpenAI is fast-tracking production of an AI-focused smartphone, with mass production set to begin in the first half of 2027. Analyst Ming-Chi Kuo predicts the company could manufacture 30 million units over 2027 and 2028. The device aims to use AI agents in place of traditional apps.

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Microsoft opened its Build developer conference on Tuesday with a focus on AI tools and agents. The keynote in San Francisco featured multiple new models and hardware concepts.

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