Startups are overwhelmingly focusing on rings for new AI wearables. This form factor is seen as ideal for discrete, dedicated use cases like health tracking and quick AI voice interactions, separating them from the general-purpose smartphone and suggesting a new, specialized device category is forming.

The seemingly unsuccessful thin iPhone Air is likely a strategic R&D initiative to master miniaturizing core components like silicon and PCBs. This effort paves the way for next-generation wearables like AI glasses, making the phone a public "road sign" for future products rather than a standalone sales priority.

Despite its hardware prowess, Apple is poorly positioned for the coming era of ambient AI devices. Its historical dominance is built on screen-based interfaces, and its voice assistant, Siri, remains critically underdeveloped, creating a significant disadvantage against voice-first competitors.

The true challenge for the rumored OpenAI hardware isn't production, but breaking through Apple's powerful ecosystem effects, particularly iMessage integration. User adoption of a new, screenless form factor is another major, unsolved problem that has stumped previous startups.

Instead of visually-obstructive headsets or glasses, the most practical and widely adopted form of AR will be audio-based. The evolution of Apple's AirPods, integrated seamlessly with an iPhone's camera and AI, will provide contextual information without the social and physical friction of wearing a device on your face.

OpenAI isn't just hiring talent; it's systematically poaching senior people from nearly every relevant Apple hardware department—camera, silicon, industrial design, manufacturing. This broad talent acquisition signals a serious, comprehensive strategy to build a fully integrated consumer device to rival Apple's own ecosystem.

Instead of an exclusive AI partner, Apple could offer a choice of AI agents (OpenAI, Anthropic, etc.) on setup, similar to the EU's browser choice screen. This would create a competitive marketplace for AI assistants on billions of devices, driving significant investment and innovation across the industry.

While many expect smart glasses, a more compelling theory for OpenAI's first hardware device is a smart pen. This aligns with Sam Altman's personal habits and supply chain rumors, offering a screenless form factor for a proactive AI companion.

After the failure of ambitious devices like the Humane AI Pin, a new generation of AI wearables is finding a foothold by focusing on a single, practical use case: AI-powered audio recording and transcription. This refined focus on a proven need increases their chances of survival and adoption.