High-profile British designer Sir Jony Ive, who helped create the iPhone, is joining OpenAI as the firm plots new hardware development.
OpenAI, the company behind ChatGPT, is to buy a start-up founded by Sir Jony, with the famed designed taking on "deep design and creatuive responsibilities" in the company.
Sam Altman, the boss of OpenAI, said the firm planned to create a "family of devices" made specifically with AI in mind.
The BBC reports the deal comes as the technology industry looks for its next big hardware hit after the iPhone.
In a video announcement, Mr Altman said: "I think we have the opportunity here to kind of completely re-imagine what it means to use a computer."
Shares in Apple dropped move than 2% in the wake of the announcement.
FTSE 100
The UK's flagship share index, the FTSE 100, was down 25 points at 8,749 shortly after opening this morning.
Brent crude oil futures were up 1.57% at $63.82 a barrel.
Companies reporting today
British Land* - Full Year Results
BT Group* - Full Year Results
ConvaTec Group - AGM Trading Statement
easyJet* - Half Year Results
Johnson Matthey - Full Year Results
Intertek Group - AGM Trading Statement
Investec - Full Year Results
Pershing Square Holdings - Q1 Results
Petershill Partners - Q1 Trading Statement
QinetiQ Group - Full Year Results
Tate & Lyle* - Full Year Results