Humane, an AI startup formed by former Apple executives, is selling its wearable AI Pin business to HP Inc. for $116 million, according to reports from Mashable and other sites. The device is expected to stop working ten days after the announcement.
AI Pin With Humane Ends
Less than a year after its release, the much-discussed AI Pin, which was introduced in late 2023 as a possible smartphone replacement, is coming to an abrupt end. The wearable AI device’s startup, Humane, has said that on February 28, 2025, all AI Pin functionality will end, leaving early users without working gear. This choice was made after the business encountered several difficulties, such as:
Disappointing sales numbers, with reports of less than 1,000 copies sold.
The device’s practical utility and expensive $699 price point have been criticized in mixed reviews.
A high return rate that is said to surpass new sales.
Humane’s ambitious plan to establish a new category of “calm technology” in the wearable AI industry has come to an abrupt end with the shutdown.
Sale Of IP To HP
Unexpectedly, the AI Pin project has come to an end when HP Inc. paid $116 million to acquire the majority of Humane’s assets. HP intends to incorporate Humane’s key technology and intellectual property into its upcoming product lines as part of this acquisition. Humane was previously valued at $850 million4, thus the sale implies a considerable depreciation. HP wants to improve its AI skills in consumer electronics, so even while the AI Pin itself will be terminated, the company’s interest in Humane’s technology points to possible uses in laptops, tablets, and other communication devices.
Wearable AI Challenges
The AI Pin’s sudden discontinuance serves as a reminder of the formidable obstacles that businesses in the nascent AI wearables sector must overcome. Humane failed to attract customers despite obtaining more than $200 million in venture capital funding. The device’s demise was influenced by its conflicting evaluations and exorbitant $699 price tag, as some questioned its usefulness. This result emphasizes how challenging it is to develop new device categories, particularly when trying to market a product as a smartphone substitute in a crowded market.
Effect On Workers
The employees of Humane will be greatly impacted by the termination of the AI Pin project. A significant number of Humane’s staff will be absorbed by HP as part of the $116 million acquisition agreement. This action guarantees that, even with new leadership, a large portion of the talent that went into creating the AI Pin will still be able to contribute to the tech sector.
Not every employee will switch to HP, though. For employees not involved in the purchase, Humane has announced layoffs and is offering severance benefits. Although the precise number of impacted workers is yet unknown, the reorganization emphasizes how unstable the digital startup industry is and how ambitious projects can result in abrupt staff changes when they don’t live up to market expectations.