OpenAI has removed public mention of io, the hardware startup co-founded by industrial designer Jony Ive and that it acquired weeks ago, from its official website and social media channels. This content removal, occurring just weeks after the announcement of a $6.5Bn deal for io’s acquisition, has drawn attention to the company’s nascent hardware initiatives. OpenAI confirms the action was a direct result of a court order stemming from a trademark lawsuit filed by Iyo, a hearing device startup.
The sudden absence of promotional materials, including a video featuring OpenAI CEO Sam Altman and Jony Ive discussing their vision, initially sparked speculation regarding the status of the acquisition. However, OpenAI has since clarified its position, updating its original announcement page with a statement – “This page is temporarily down due to a court order following a trademark complaint from Iyo about our use of the name ‘io.’ We don’t agree with the complaint and are reviewing our options.” The company added that this legal issue does not affect the deal itself.
To recap, OpenAI, which made a name for itself with ChatGPT back in 2022, and is backed by the likes of SoftBank, Microsoft (though the partnership has seen better days), and others, had announced its intention to acquire io last month. This move represents a major strategic expansion for OpenAI into the consumer hardware sector. Jony Ive, celebrated for his role in designing Apple products including the iPhone, iPod, and Apple Watch, was set to assume creative and design leadership across the merged businesses.
This development comes after Sam Altman had publicly praised a prototype io device, reportedly an “unobtrusive” AI hardware item that is neither a phone nor glasses, describing it as “the coolest piece of technology that the world will have ever seen.” This push into physical products aligns with a broader industry trend of AI companies seeking to embed their tech 1 .directly into daily life through a variety of ways.
The legal challenge originates from Iyo, a startup that emerged from Google’s “moonshot factory,” Iyo has developed and markets an AI-powered, ear-worn audio computer known as the “Iyo One,” designed for natural language computing and enhancing auditory experiences. This device offers features such as AI-powered natural language understanding, real-time language translation (“Babl”), and hearing enhancement capabilities (“Owl”), operating as a screenless computer designed for constant interaction. According to court documents, Iyo alleges that OpenAI’s use of the “io” name for its hardware venture constitutes trademark infringement, arguing that “io” is a homophone of “Iyo” and creates consumer confusion. Apparently, OpenAI’s subsequent announcement of the “io” hardware initiative, with a similar product concept, exploits Iyo’s established goodwill and market presence.
