Artificial Intelligence-Powered Gadgets on the Horizon – Could Any Potentially Overtake the iPhone's Dominance?
In the world of technology, change is constant. For nearly two decades, the smartphone has been the centerpiece of personal technology, but that may be changing. The smartphone market has plateaued, with sales being 19 percent lower in 2024 than they were in 2017. This stagnation has led to a search for the next breakthrough form factor, and major tech companies are investing billions to find it.
One such company is Google, which is embedding its Gemini multimodal AI models into its hardware ecosystem. The Pixel 10 series and Pixel Watch 4 rely on Gemini 2.0 models paired with the Tensor G5 chip, promising a more seamless integration of AI into daily life. Google is also expanding on this with Android XR glasses, offering features such as messaging, turn-by-turn directions, and real-time subtitles.
Apple is following suit, retooling its devices to integrate AI. The company is focusing on a more capable Siri, now drawing on Apple Intelligence for richer language understanding. Apple is also hinting at upcoming AI-powered hardware, and is investing in a 250,000 square foot AI server factory in Houston, set to open by 2026.
Meta is developing augmented reality glasses, with Orion serving as its flagship prototype. While Orion will remain a developer-only prototype in 2026, it will act as a stepping stone to a more refined consumer-ready model slated for a 2027 launch.
OpenAI is also joining the race, reportedly developing a pocket-sized, screenless device in collaboration with Jony Ive's design studio LoveForm. The latest developed device by OpenAI is the GPT-5-Codex, a fine-tuned variant of GPT-5 specifically designed for advanced AI-assisted programming tools, featuring improved code review and dynamic reasoning capabilities.
Neuralink, another major player, is developing a brain-computer interface (BCI) that must be surgically implanted under a person's skull. The technology is designed to tap into the mind's motor control areas, allowing users to operate computers and mobile devices with thoughts.
Amazon is not left behind, having recently acquired Bee, a startup behind a palm-sized wearable AI device. The Bee AI wearable features dual microphones with noise filtering, a modular, discreet design, and a battery life of up to seven days. Amazon has also rolled out its AI-software suite, AI-accelerator chips, a shopping chatbot, and a marketplace for third-party AI models.
The next era of smart tech will likely favor something more hands-free and intuitive, able to blend seamlessly into daily routines. Incremental upgrades no longer excite users, who are holding onto their devices longer than before and increasingly turning to refurbished alternatives instead of buying new. The classic smartphone design is falling out of step with the rapid evolution of AI, suggesting a new kind of device is on the horizon.
