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Analyst Says OpenAI Plans AI-First Smartphone With Custom Chips

The unconfirmed plan would challenge leading smartphone brands.

Overview

  • Ming‑Chi Kuo, in a post Monday, said OpenAI is co‑developing custom phone processors with Qualcomm and MediaTek, with Luxshare named as the exclusive partner for system co‑design and assembly.
  • Kuo’s timeline places specification and supplier lock‑in in late 2026 or early 2027, with mass production of the reported device targeted for 2028.
  • The concept centers on an agent-led interface that handles tasks without app hopping, using a hybrid design where small models run on the phone for context and heavier work shifts to the cloud.
  • Markets moved after the analyst note, with Qualcomm shares jumping about 12–13% in early trading and Luxshare rising up to 10%, while Apple slipped about 1.9%, and none of the named firms confirmed the report.
  • Coverage frames the phone as a shift from earlier OpenAI hardware efforts tied to Jony Ive’s team that focused on non‑phone devices, with Kuo also flagging potential hardware bundles paired with AI subscriptions to seed a developer ecosystem.