Artificial intelligence giant OpenAI is preparing to challenge Apple’s iPhone dominance by making a move that will fundamentally shake the balance in the technology world. According to new reports shared by famous analyst Ming-Chi Kuo, the company has started working to develop its own special smartphone processor by establishing a strategic partnership with Qualcomm and MediaTek.

This OpenAI smartphone project, the technical details of which are expected to be clarified by the end of 2026 or the first quarter of 2027, aims to reach a huge annual shipment volume of 300 to 400 million units.

This initiative, which will disable the traditional application ecosystem, aims to radically change mobile device usage habits.

OpenAI Aims to Build Its Own Hardware Ecosystem

OpenAI’s strategy is based on going beyond being just a software provider and adopting the vertical integration model that Apple has successfully implemented for years.

Company; It wants to manage the entire user experience from a single source by developing its own processor, hardware and user interface.

OpenAI, which was previously known to be working on artificial intelligence-supported headphones codenamed “Sweetpea” and pen-like devices called “Gumdrop” without a screen, has now shifted its main focus to smartphones, which remains the largest device category globally.

The artificial intelligence giant believes that in the future, smartphones will become central units that only collect data and make instant inferences.

The Era of Applications is Ending and the Era of Artificial Intelligence Agents Begins

According to the company’s vision, the concept of applications in the mobile world will be replaced by real-time artificial intelligence agents. In this new system, the smartphone hardware will monitor the user’s current status through sensors, perform memory management and solve complex operations with cloud support.

This approach poses a serious risk for Apple, which bases its revenue model largely on the App Store and in-app purchases. The fact that Apple currently needs Google’s Gemini models to power Siri shows that the company is having difficulty against OpenAI in the artificial intelligence race.

The assembly processes of the new device are expected to be undertaken by Luxshare and will appeal to the highest segment of the market.

With the implementation of the project, OpenAI will transform from just an artificial intelligence model manufacturer into a global hardware manufacturer.

Analyst Kuo states that smartphones will remain the most widely used device category for the foreseeable future and emphasizes that OpenAI’s entry into this market is a strategic necessity. The 400 million sales target is seen as part of an aggressive growth strategy that directly targets Apple’s market share.

So, do you think a phone designed by an artificial intelligence company without an application can replace the iPhone? Don’t forget to share your opinions with us in the comments section.