Humane has officially ceased sales of its AI Pin and is selling most of its assets to HP for$116 million. The AI-powered wearable device, which launched in April 2024, received harsh criticism, with reviewers calling it impractical and poorly designed. Existing AI Pins will function until 3PM ET on 28 February, after which they will lose access to cloud-based features like calling, messaging, and AI queries.

The company had initially sought a buyer at a much higher valuation of$1 billion, but weak sales and frequent returns made that goal unrealistic. In addition to acquiring Humane's AI software, CosmOS, HP will gain over 300 patents and integrate Humane's technical team into its operations. The new division, HP IQ, will focus on incorporating AI into the company's personal computers, printers, and smart office solutions.

Despite attempts to pivot towards software, Humane failed to secure a sustainable market for its technology. The AI Pin's rapid decline highlights the challenges of launching an AI-powered device without strong consumer demand or a clear use case. HP, however, sees potential in the underlying technology and plans to use it to strengthen its AI-driven ecosystem.