In April 2024, two hyped AI hardware devices launched: Rabbit R1 ($199) and Humane AI Pin ($699 + $24/month).

Both promised to replace your smartphone with AI. Both failed spectacularly.

By September, Rabbit R1 had dropped from 10,000 daily users to just 5,000. Humane was desperately seeking a buyer.

What They Promised

Rabbit R1: Handheld AI assistant that could control apps and complete tasks Humane Pin: Wearable AI projector with voice assistant

Both marketed as the future of computing—AI-first devices that would make phones obsolete.

What Went Wrong

The Rabbit R1:

• Slow, buggy software
• Limited functionality
• Basically just ran a web app
• Could've been a phone app

The Humane Pin:

• Overheating issues
• Poor battery life
• Awkward to use
• Terrible reviews
• $699 + ongoing subscription

The fundamental problem: Both could've been smartphone apps. The dedicated hardware added cost and friction without solving real problems.

The Reviews

Tech reviewers were brutal:

• "Just use your phone"
• "E-waste with AI branding"
• "Solution looking for a problem"
• "Embarrassingly bad"

MKBHD's Humane Pin review became one of his most-watched, savaging the product.

The Lesson

AI doesn't need dedicated hardware—it works better integrated into devices people already use.

Phones, computers, and existing tools benefit from AI. Creating new AI-only hardware is solving a problem nobody has.

Where Are They Now?

Humane reportedly sought buyers at drastically reduced valuations. Rabbit R1 continues with a tiny user base, trying to add features to justify its existence.

April 2024 was when the AI hardware bubble popped—proving AI's future is software, not gadgets.