OpenAI plans to enter the smartphone market in 2028, collaborating with MediaTek and Qualcomm to develop custom processors for an AI-centric device. The company aims to finalize chip specifications by late 2026 or early 2027. Mass production of the smartphone is expected to commence in 2028.
This development signifies OpenAI’s expansion beyond custom AI chips for computing infrastructure, previously agreed upon with Broadcom. The aforementioned smartphone processors are intended to enhance AI functionalities, leveraging both on-device and cloud-based capabilities.
Analyst Ming-Chi Kuo of TF International Securities disclosed the plans on Twitter, emphasizing that power consumption, memory hierarchy management, and small-model execution will be critical design considerations for the processors. Kuo noted that more demanding tasks would likely be managed by cloud AI rather than on-device solutions.
Specific features and suppliers related to the chipset are set to be announced in late 2026 or the first quarter of 2027. This aligns with OpenAI’s intent to prioritize AI capabilities in its smartphone design, potentially incorporating always-on features to continually understand user context.
Kuo also mentioned Luxshare and Foxconn as potential exclusive partners for system co-design and manufacturing. This partnership may further enhance the development of OpenAI’s smartphone, positioning it within a competitive market landscape.
