Humane’s AI Pin Shuts Down as HP Buys Startup for $116M

Introduction

Humane, the AI hardware startup, is discontinuing the AI Pin after HP acquired the company for $116M. Sales of the $499 device will stop immediately and all existing AI Pins will stop functioning by 12pm PST on February 28, 2025.

AI Pin Will Stop Working by February 28

Humane has told customers that their AI Pins will no longer connect to the servers after the deadline. That means users will lose calling, messaging, AI queries and cloud services. Humane advises users to back up their important data before the shutdown.

Customer support for the AI Pin will also end on February 28. Humane is only offering refunds to customers who bought the device in the last 90 days.

Humane’s Rise and Fall

Founded by ex-Apple employees Bethany Bongiorno and Imran Chaudhri, Humane was out to revolutionize consumer AI hardware with the AI Pin, a wearable device meant to be a smartphone alternative. The company raised over $230M and launched the AI Pin in April 2024.

But early reviews were lukewarm and returns were exceeding sales. Then Humane issued a recall for the charging case due to battery fire risks. By October 2024 the company slashed the AI Pin’s price from $699 to $499 to try to boost sales but it wasn’t enough.

HP’s Plans for Humane’s Tech and Team

With the acquisition, HP will integrate Humane’s engineers and product managers into a new division called HP IQ, an AI innovation lab focused on the future of work. HP also acquired Humane’s CosmOS AI operating system which could be used in HP’s personal computers, printers and other smart devices.

Humane was looking for acquisition deals in the $750M to $1B range in mid 2024 but the final deal was much lower.

What’s Next for AI in Hardware?

Humane’s rapid collapse shows the challenges of entering the consumer AI hardware space. While the AI Pin failed to gain traction, the underlying tech may still play a role in HP’s future AI innovations.