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Humane’s AI Pin is dead, as HP buys startup for $116M
Humane has been acquired by HP for $116 million, leading to the discontinuation of its AI Pins. Sales will cease immediately, with affected devices losing functionality by February 28, 2025. The startup, aiming to replace smartphones, faced challenges, including high return rates and pricing issues. HP will absorb Humane's team and technology to enhance its AI capabilities.
Key points
- Humane was acquired by HP for $116 million, immediately discontinuing sales of AI Pins.
- AI Pins will stop functioning completely by February 28, 2025.
- Customers are urged to back up data as devices will lose all connectivity and support post-deadline.
- The AI Pin was perceived negatively by early users, with returns exceeding sales at one point.
- HP is forming an AI innovation lab called HP IQ with Humane's engineers and technology.
- Humane originally sought a higher acquisition price of $750 million to $1 billion.
Why it matters
- The acquisition highlights the volatile nature of tech startups in the AI and hardware space.
- This event relates to broader 2025 IT trends, including the rise of AI integration in consumer products.
- Historic benchmarks show that many ambitious startups struggle to maintain momentum post-launch, particularly in high-competition markets.
The acquisition of Humane by HP signals the rapid evolution and challenges within the tech industry, particularly for startups aiming to innovate in AI. The shift to HP's integration of Humane's technology may open new avenues for AI applications across its product line.