London-based technology startup Nothing has announced plans to release its first “AI-native” devices in 2026, following a new US$200 million funding round that values the company at US$1.3 billion. The firm, founded by Carl Pei, says it is developing an operating system that will be “significantly different from the ones today” and designed to power the next generation of consumer hardware.
Building an AI-first operating system
Nothing confirmed that artificial intelligence will be at the core of its future product strategy. Pei explained that the company is working on an “AI OS” designed to deliver a “hyper-personalised experience,” describing it as the foundation for the future of connected technology.
The new operating system is intended to support existing categories such as smartphones, headphones and smartwatches, while also extending to emerging technologies including smart glasses, electric vehicles and humanoid robots. Pei added that the system will be built to handle “whatever comes next.”
However, it remains unclear whether the AI OS will be based on Android, as is the case with the current Nothing OS. The company has not provided further details on this point.
Interestingly, Pei’s comments mark a notable shift in tone from last October, when he said that “AI is just a tool” and argued that Nothing’s operating system should not be described as an AI system.
Preparing for a competitive market
Nothing expects to launch its first AI-native devices next year. However, it faces challenges in convincing consumers to adopt products in a category that has historically struggled to gain mainstream traction. Even major players such as Apple have faced difficulties generating mass-market success for experimental devices beyond traditional smartphones and laptops.
The competition is already heating up. Former Apple designer Jony Ive is reportedly collaborating with OpenAI to create a “screen-free” AI device, adding further pressure to new entrants like Nothing.
Despite this, the company believes it has a competitive edge. Pei argued that controlling the direct link between devices and users gives Nothing a unique advantage in building an AI-powered platform that understands individual needs.
A vision of personalised technology
Pei set out a clear vision of how he believes technology should evolve. “Owning the last-mile distribution point with all its contextual and user knowledge is essential to developing an OS that will help people in their daily lives,” he said. “An AI OS that doesn’t know its user and isn’t ever-present can’t deliver a hyper-personalised experience. This is the next chapter for Nothing, integrating an AI experience into our hardware devices to reinvent how technology amplifies us.”
Nothing’s success will depend not only on its ability to deliver on this vision but also on how willing consumers are to embrace AI-driven devices in their everyday lives. The company’s first AI-native products are expected to provide an early indication of whether such ambitions can move from concept to reality.
