After a rocky launch and harsh reviews, AI startup Humane is reportedly looking for a buyer for its wearable AI Pin, with tech giant HP emerging as a potential suitor.
The New York Times reports that Humane, founded by former Apple executives Imran Chaudhry and Bethany Bongiorno, is in talks with HP about a potential acquisition worth more than $1 billion. Bloomberg and The New York Times previously reported that the struggling company was seeking buyers for between $750 million and $1 billion.
Humane's AI Pin, a $699 wearable device designed to deliver AI-powered functionality through a laser projection system, has been panned by critics since its launch. Reviewers criticized the device for failing to meet expectations, pointing out issues with battery life, functionality and overheating. The company also faced backlash after emailing customers about a potential fire safety risk associated with the device's charging case.
Adding to the confusion, Humane fired a senior software engineer in February for questioning the AI Pin's launch readiness, allegedly violating a company policy that forbids employees from speaking negatively about Humane, according to the Times report. Several current and former employees claim the company has a culture that prioritizes “positive over negative,” and that Chaudhuri and Bongiorno ignored concerns about the device's technical limitations.
According to the New York Times, Humane had hoped to sell 100,000 in the first year, but as of early April it had received only about 10,000 orders for the AI Pin.
It's unclear whether HP, which previously acquired Palm and then famously discontinued the brand, will ultimately acquire Humane. The proposed acquisition evokes a sense of deja vu and raises questions about the future of Humane's technology and employees if HP chooses to integrate or abandon AI Pin.
