Federica Laricchia
Research expert covering the global consumer technology industry
AI gadgets - statistics & facts
How nice would it be if we could use our smartphone without holding it, unlocking it, and touching its screen? Now such an experience is possible with new AI gadgets. The past couple of years have witnessed a proper revolution with the advancement of artificial intelligence (AI) - a technology that is now everywhere. If AI has been long embedded in our electronic devices – just think about Siri on your iPhone or Alexa on your smart speaker – this revolution is bringing to the table a whole new category of devices, which can be grouped under the umbrella term “AI gadgets.” The market does not offer many options yet, but the devices available are wearables implementing smartphone functionalities, with manufacturers aiming at a possible smartphone-less future.
In January 2024, the AI startup Rabbit presented their 200 U.S. dollar-gadget, the Rabbit R1, featuring a screen, a camera, and a scroll button. Powered by a MediaTek processor and running on RabbitOS, the device embeds the so-called “Large Action Model”, trained to use existing apps to complete tasks, like messaging and playing music. Consumers seem excited to try it to the extent that Rabbit sold out 10,000 units in 24 hours.
Humane and Rabbit launch their AI gadgets
One of the first companies joining the AI gadget industry is the American startup Humane – founded by two Apple’s previous employees, funded by OpenAI and Microsoft, and valued at 850 million U.S. dollars. In November 2023, they launched the “AI Pin”, a wearable attachable to clothes. Powered by OpenAI’s GPT4 and featuring a Snapdragon processor, the 700 U.S. dollar-device works as a phone without users having to hold it and open apps. Rather, they can simply touch or talk to the Pin to activate it. Its operating system, Cosmos, performs the requested actions and makes them visible through a projector, such as taking pictures and calling. Indeed, Humane offers a T-Mobile SIM card for a monthly fee of 24 U.S. dollars.In January 2024, the AI startup Rabbit presented their 200 U.S. dollar-gadget, the Rabbit R1, featuring a screen, a camera, and a scroll button. Powered by a MediaTek processor and running on RabbitOS, the device embeds the so-called “Large Action Model”, trained to use existing apps to complete tasks, like messaging and playing music. Consumers seem excited to try it to the extent that Rabbit sold out 10,000 units in 24 hours.
Will AI gadgets replace smartphones?
The real question is whether AI gadgets could become our primary devices and eventually replace smartphones. If the industry is still at a very early stage and every year millions of smartphones are shipped, the smartphone market is increasingly becoming saturated, and the consumer tech industry needs a new breakthrough - what AI gadgets could be. Indeed, these devices might soon gain popularity and a top spot in the consumer electronics market.
