The Beginning of the AI Phone Wars

For years, Silicon Valley has been trying to figure out if hardware companies can generate venture scale returns, given the example of high-profile, venture capital–backed disappointments like Essential Products and Magic Leap. This challenging environment makes The Information’s recent reporting—that OpenAI CEO Sam Altman and iPhone designer Jony Ive are discussing building an artificial intelligence–powered device—all the more intriguing. 

An Ive and Altman product—potentially bankrolled by SoftBank’s Masayoshi Son—has a better shot at success than most startups. The pair …

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