OpenAI is collaborating with chip designers MediaTek and Qualcomm to develop custom smartphone processors. According to analyst Ming-Chi Kuo, the project aims to create an AI-native smartphone that prioritizes autonomous agent experiences over traditional applications. Apple supplier Luxshare is expected to be the exclusive partner for system co-design and manufacturing.

The proposed device will leverage both on-device and cloud-based AI to understand user context and perform tasks autonomously. Final specifications and supplier decisions are anticipated by late 2026 or early 2027. Mass production is scheduled to begin in 2028.

This hardware expansion positions OpenAI as a direct competitor to Apple and Samsung in the high-end smartphone market.