OpenAI's first AI device isn't a phone; Its a moving smart speaker to rival Amazon Alexa

OpenAI is reportedly working on an AI-powered hardware device with former Apple designer Jony Ive. Previously, the device was expected to be a smartphone, but the latest reports suggest that it could be a screenless smart speaker that may rival Amazon’s Alexa devices.

According to a Bloomberg report, OpenAI is in the early stages of developing a portable smart speaker, which is touted as a “humanlike AI companion” for the home. The device may allow users to interact with ChatGPT or other OpenAI models using voice commands.

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OpenAI’s smart speaker: What to expect?

Unlike traditional smart speakers such as Amazon Echo or Google Nest, OpenAI's smart speaker is expected to have a distinct “personality” to make interactions feel more natural. The device is said to gradually learn about its owner over time, including their preferences, habits, and routines, to offer personalised assistance.

In addition, the speaker may also access users' information like emails and other information to understand context and provide more relevant responses. The report also suggests that the speaker may include moving mechanical parts that may allow it to move physically. The device is expected to offer portability, and it may also include a camera and other sensors.

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The aim of the speaker is to provide a companion rather than just a voice assistant, and serve as a physical version of ChatGPT.

How OpenAI’s smart speaker can rival Amazon’s Alexa

If OpenAI launches a smart speaker, it could rival several existing smart home speakers like Amazon's Echo lineup, Google Nest speakers, and Apple's HomePod. As per reports, the OpenAI device is said to be less of a voice remote and more of an always-on AI companion.

OpenAI’s smart speaker is said to offer ChatGPT-style reasoning, a camera, and proactive context awareness, whereas Alexa+ is built around conversational AI and Amazon’s device ecosystem.

It is said to be an observe-and-assist companion, whereas Amazon’s Alexa is built around command-response functionality. If OpenAI nails natural conversation and memory, it could come as a very compelling smart speaker option in the market. 

However, Amazon has a deeper ecosystem with Alexa Echo devices and Alexa+. It can handle multi-turn conversations, smart home control, calendars, reservations, rides, and shopping integrations, and it already has a trusted user base. Therefore, OpenAI may have to bring unique AI capabilities and a seamless ecosystem to compete.