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OpenAI reportedly working with MediaTek, Qualcomm on smartphone chips, mass production expected in 2028

Ming-Chi Kuo said the device would use a mix of on-device and cloud AI, with mass production expected in 2028.

  • On Monday, reports emerged that OpenAI is partnering with Qualcomm and MediaTek to develop a smartphone centered on AI agents, as analyst Ming-Chi Kuo of TF International Securities noted the move aims to advance the firm's hardware ambitions.
  • Earlier, OpenAI shifted its 'Gumdrop' hardware project to Foxconn Technology Group, with Luxshare co-designing the device, which reports state is 'expected to launch around 2026–2027 and strengthen Foxconn's role in OpenAI.'
  • Kuo explained that smartphones remain the 'largest-scale device category' for capturing real-time user data, stating 'Only by fully controlling both the operating system and hardware can OpenAI deliver a comprehensive AI agent service.'
  • Qualcomm shares rose in premarket trading Monday following the reports, with the stock last up 12%, extending gains from Friday when the company closed at $148.85, rising 11.12%.
  • Altman described the future device as capable to 'know everything you've ever thought about, read, said,' contrasting it with the chaotic nature of Times Square to suggest a calmer experience like 'sitting in the most beautiful cabin by a lake.
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According to a new report from analyst Ming-Chi Kuo, OpenAI is developing a smartphone that will bring true Agentic AI capabilities. The device is said to enter mass production in 2028 and will offer AI capabilities on the device, while the most demanding tasks will be sent to the cloud, reports Telegrafi. According to Kuo, OpenAI is currently working with MediaTek and Qualcomm to develop a custom chipset for its upcoming smartphone. The report …

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Trading Tips broke the news on Monday, April 27, 2026.
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