Humane to Shut Down Failed AI Pin Brooches — Remains of Company Cheaply Bought by HP

HP announced the acquisition of Humane, the maker of the AI ​​Pin smart brooch, for $116 million. Humane’s negotiations with HP regarding the sale of its business became known last summer. Humane’s management reportedly expected to receive $1 billion from the deal.

Image source: Humane

Humane’s project to release the AI ​​Pin, a device positioned as a smartphone replacement, ended in complete failure. The AI ​​Pin went on sale in November 2023 for $699. Users of the new product also had to subscribe to a $24 per month subscription.

As it turned out, the device was “raw”, had many shortcomings, problems with overheating and weak autonomy, which led to mass returns and negative reviews from buyers and experts. In addition, AI Pin did not have a “zest” – a function or capabilities that smartphones did not have.

Since this was Humane’s only product and core offering, the failure of which could not be offset by sales of other devices, the company began looking for a buyer for its business in May last year.

HP is reportedly acquiring key AI assets from Humane, including its Cosmos AI platform and intellectual property with more than 300 patents and patent applications. The deal is expected to help HP transform into a more AI-focused and innovation-focused company. It should be noted that HP is not acquiring the AI ​​Pin, but rather some of the technology used to power it.

«“This investment will accelerate our ability to develop a new generation of devices that seamlessly orchestrate AI requests both on-premises and in the cloud,” said Tuan Tran, president of technology and innovation at HP, in a statement. “The Humane Cosmos AI platform, supported by a team of skilled engineers, will help us build an intelligent ecosystem across all HP devices, from AI-powered PCs to smart printers and connected conference rooms. This will unlock new levels of functionality for our customers and enable the power of AI.”

As part of the deal, Humane will join HP’s technology and innovation team. Former Humane employees will form a new group within HP called HP IQ, an AI innovation lab focused on building an intelligent ecosystem for HP products and services.

It’s unclear what assets Humane has left and what the company will do now. The AI ​​Pin has been discontinued, and the days of the already sold pins are numbered — the company said that starting February 28, AI devices will lose access to Humane’s servers and other functions, such as calling, sending messages, and processing AI requests.

Since its inception, Humane has raised $230 million in funding. Its investors include Kindred Ventures, LG Technology Ventures, Socium Ventures, Qualcomm Ventures, Valia, Forerunner Ventures, Tiger Global Management, Hico Capital, Microsoft, Volvo Cars AB, Top Tier Capital Partners, and Hudson Bay Capital LP.