Tech startup Humane is currently in the market for a buyer for its business, just a little over a month after the release of its AI Pin, as reported by Bloomberg.
The AI Pin is a compact device designed to provide quick access to an AI assistant. Humane is collaborating with a financial adviser, Bloomberg reports, aiming to secure a sale valued between $750 million and $1 billion.
Despite generating significant interest and successfully raising $230 million from prominent investors, Humane’s lofty asking price may face challenges, particularly given the lukewarm reception of its AI Pin upon launch.
Critics criticized the device for its sluggish performance, irrelevant responses, and subpar battery life, ultimately awarding it a mediocre score of 50 out of 100 in reviews. Furthermore, the device’s premium price tag of $700, coupled with a monthly fee of $24 for access to the company’s AI technology and 4G service on T-Mobile’s network, deterred potential buyers.
In response to feedback, Humane acknowledged several areas for improvement in a post on its website, indicating its commitment to addressing consumer concerns.
However, competition remains stiff, with more affordable alternatives like the Rabbit R1 priced at $199. Despite its lower cost, dedicated AI gadgets still struggle to gain widespread popularity, particularly when consumers can easily utilize AI tools on their smartphones.
Bloomberg notes that Humane’s efforts to sell its business are in the preliminary stages and may not culminate in a successful deal.
