TL;DR: Humane AI raised $230M but failed to deliver. The $700 Ai Pin was slow, impractical, and poorly received, leading to its shutdown and a $116M acquisition by HP.
A tech startup in San Francisco that raised $230 million has officially closed up shop after receiving a slew of terrible reviews.
Wearable AI pin startup Humane is shutting down and selling off its software, patents, and employees to HP Inc., according to a report in SFGATE. The HP deal is set to close at the end of February.
Humane promised to "fundamentally reshape the role of technology in people's lives" with its Ai Pin, a wearable AI assistant.
Backed by high-profile investors like OpenAI’s Sam Altman and Salesforce’s Marc Benioff, the company was valued at $850 million at its peak. But when the device launched at $700, it didn’t live up to expectations.
The launch video in November 2023 exposed major flaws, and early adopters found the device slow, unreliable, and difficult to use. Tech reviewers didn't hold back.
YouTuber Marques Brownlee called it “bad at almost everything it does, basically all the time.” His review, titled The Worst Product I've Ever Reviewed ... For Now, racked up over 8.5 million views. The Verge and Wired echoed the sentiment, calling it impractical and ineffective.
What Went Wrong?
The Ai Pin aimed to replace smartphones with a screen-free AI-powered experience, but it failed at basic tasks.
Voice recognition struggled, performance lagged, and the overall user experience was frustrating. Humane’s founders even warned employees to brace for bad reviews before launch, indicating they likely knew the product wasn’t ready.
HP is acquiring Humane’s staff, software, and more than 300 patents for $116 million. According to HP’s president of technology and innovation, the AI platform will be integrated across HP’s devices, from AI-powered PCs to smart printers.
But the Ai Pin itself is finished.
Service will shut down on February 28, leaving customers with little more than an expensive lapel accessory. Data from the devices will be permanently deleted, and Humane is offering "limited" refunds for purchases made after November 15.
The Takeaway for Founders
The downfall of Humane AI is a reminder that good design and strong storytelling can attract funding, but long-term success depends on product-market fit.
Investors bought into the vision, but customers needed something that worked.
A beautiful website and a futuristic concept aren't enough if the product doesn't deliver. Humane AI’s marketing was world-class, but execution lagged far behind.
Founders chasing innovation should focus less on spectacle and more on substance. Because at the end of the day, if the product doesn’t work, no amount of hype can save it.
