Artificial intelligence will be at the heart of Nothing’s next smartphone

CEO of Nothing Carl Pei recently released a video in which he makes two bold assertions: first, that AI-enabled smartphones will truly be the gadget of the future; and second, that AI may alter how we use these devices. In the video, Pei declares, “People love their phones!” However, “it’s been a very long time since the user experience has changed.” He claims that although everything is quicker, more attractive, and simpler, “the fundamental experience hasn’t changed.” Pei now believes that is going to happen.

It’s worth mentioning that Pei does mention the Phone 3, which has been rumored for some time and may soon be available if Nothing sticks to its usual July launch timetable. Pei claims that the Phone 3 will also be the first phone from the firm to use real AI. It is also the first pure AI phone from the firm, according to Pei, coming with the Phone 3.

The Nothing team showcases a few demos in the video. One appears to be a replica of OpenAI’s GPT-4o demo, which features an integrated personal voice assistant within the operating system. Everyone believes that this is how smartphones will develop in the future. A customized, dynamic home screen that resembles a cross between an app launcher and a news feed is displayed in the other demo. It automatically retrieves and displays a QR code for a ticket you’ll need shortly, retrieves web information, and displays the current weather and pertinent reminders. According to Pei, the objective is to consider how AI may help smartphones evolve past their app-centric paradigm and become a system that always knows what you need and where it is.

Pei is cautious to point out that even fiddling with your home screen will take some time, as these are still very early prototypes. In the video, he states, “You can’t just ship a new product and be like, ‘Hey, there’s no more apps, are you going to buy it?'” “They won’t accept it.” (I can’t prove it, but that’s obviously a jab at Humane or Rabbit.) According to Pei, nothing’s responsibility is to provide a link between the existing and upcoming systems. Additionally, he draws a comparison between Nothing and Nintendo, emphasizing that the goal is to provide enjoyable content rather than compete on technology.

Nothing has obviously been considering AI for some time: it included ChatGPT in the latest Ear headphones, and Pei told me last year on The Vergecast that he was already considering a world without applications. “With the Phone 2, we’re trying to at least give users options to take some of that power back,” he stated at the time. “We feel like apps have gotten too powerful.” It mostly meant reskining the UI and providing users more control over notifications last year, but it appears it means AI these days. He said, “Maybe we could just tell the phone what we need to do, and it would use those apps for us without even having to see the apps open in the foreground.”

Regarding the smartphone argument, Pei has consistently stated that the reason Nothing began creating headphones and smartphones is that these are the devices that the majority of people use daily. He declared last year that “I think a computing device consisting of a large screen with some camera capability is going to be the dominating form factor for a long time.” His belief that the phone industry was safer, while more competitive, appears to have been validated by the Humane and Rabbit experiences. He has, however, been making vague allusions to the possibility that the next great thing you currently own may be on the horizon. It’s a tiny bit different, in any case.

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