OpenAI Reportedly Developing Smartphone, AI Agents May Replace Traditional Apps
April 27, 2026 21:08 CST | Source: TechCrunch
Key Points
Renowned Apple supply chain analyst Ming-Chi Kuo has released a new research note indicating that OpenAI is collaborating with MediaTek, Qualcomm, and Luxshare to develop an entirely new smartphone. The device is expected to enter mass production in 2028, with its core concept centering on replacing the traditional application ecosystem with AI agents.
Hardware Partnership Architecture
According to Kuo’s research note, OpenAI’s smartphone will adopt a jointly developed chip solution:
- Chip design: MediaTek and Qualcomm jointly developing smartphone chips
- Design and manufacturing: Luxserve as co-design and manufacturing partner
- Specification finalization: Expected by year-end or Q1 2027 to finalize specifications and supplier list
AI Agents Replacing Apps
The most striking assertion in the report is that the smartphone may no longer rely on traditional applications, instead using AI agents to complete various tasks.
Currently, Apple and Google control app distribution channels and system-level access, restricting certain functionalities. Kuo suggests that by developing its own phone and hardware stack, OpenAI would be able to deploy AI across all features without restrictions.
With ChatGPT nearing a billion weekly active users, releasing a hardware product for daily use could further expand OpenAI’s consumer reach.
Continuous Context Understanding
Kuo believes that OpenAI’s smartphone will be designed to continuously understand users’ context. By providing the phone directly, the company could gain access to far more data about user habits than a standalone app could. He also indicated that the company will employ a mix of on-device small models and cloud-based models to handle different types of requests and tasks.
Industry Trend
This thinking is not exclusive to OpenAI. Vibe coding app developers are predicting a future that no longer involves apps. Nothing CEO Carl Pei stated at SXSW that “apps will eventually go away.”
OpenAI’s Hardware Plans
Earlier this year, OpenAI Chief Global Affairs Officer Chris Lehane said the company is on track to announce its “first hardware product in the second half of 2026.” Multiple reports at the time suggested the device could be uniquely designed earbuds.
OpenAI did not respond to requests for comment at the time of publication.
Source: TechCrunch - OpenAI could be making a phone with AI agents replacing apps