Legal documents from a trademark dispute between OpenAI and Google-backed startup iyO reveal new details about OpenAI’s secretive hardware project with former Apple designer Jony Ive. The filings confirm that the upcoming product from their jointly formed company, io Products Inc., is not an in-ear or wearable device.
Tang Tan, former Apple executive and now Chief Hardware Officer at io, stated in a court declaration that the prototype mentioned in OpenAI CEO Sam Altman’s earlier public comments is “not an in-ear device, nor a wearable device.” He clarified that the design remains unfinished and the product is at least a year away from hitting the market.
Altman, in his own court filing, said the goal is to build devices that “go beyond traditional products and interfaces.” While he previously told employees the prototype could fit in a pocket or sit on a desk, the final form factor remains unconfirmed.
Court Docs Show Deep Research, but No Wearable Plans
The lawsuit stems from a trademark complaint by iyO, which claims that OpenAI’s “io” brand infringes on its own. In response, OpenAI removed marketing materials related to the $6.5 billion partnership with Ive. Despite denying any intent to copy, court filings show that OpenAI and io executives spent months researching in-ear devices, buying at least 30 commercial headphone models for evaluation.
According to emails cited in the filings, OpenAI executives met with iyO’s CEO, Jason Rugolo, in May to explore iyO’s custom-fit earpiece technology. However, OpenAI described these demos as underwhelming, citing repeated failures during the tests.
Ergonomics Matter, but No Custom Earpiece Incoming
Internal emails submitted to the court show that OpenAI expressed interest in iyO’s 3D ear-scanning technology, particularly for ergonomic research. Marwan Rammah, a former Apple engineer now with io, suggested acquiring a database of ear scans to better understand in-ear ergonomics. Still, io has made it clear: it has no intention of developing a custom-molded earpiece.
TechCrunch, citing the filings, reported that iyO tried multiple times to form a deeper relationship with OpenAI. Offers ranged from investment proposals to a full acquisition valued at $200 million. All were turned down, according to statements from Tan.
Evans Hankey, also a former Apple executive and now Chief Product Officer at io, submitted a court declaration reinforcing that io is not pursuing an in-ear or custom-fit hardware product.
While industry speculation has focused on smart glasses and AI-enabled headphones as the next big consumer interface, OpenAI and Ive’s project appears to be headed in a different direction. Based on statements made in court, the team is exploring other form factors that aren’t tied to the ear or the body at all.