In a surprising move, Figure AI, a robotics company developing general-purpose humanoid robots, announced on Tuesday via X that it is terminating its partnership with OpenAI. Instead, the Bay Area-based firm will pivot towards developing its own artificial intelligence, citing a “major breakthrough” in its research. While details remain scarce, Figure AI founder and CEO Brett Adcock hinted in a conversation with TechCrunch that the company is on the verge of unveiling a game-changing innovation for humanoid robots within the next 30 days.
OpenAI has been a key investor in Figure AI, with the two companies previously collaborating to develop next-generation AI models for humanoid robotics. Their partnership was highlighted last year when Figure AI announced a $675 million funding round, which boosted its valuation to $2.6 billion. To date, the company has secured a total of $1.5 billion in investment.
Given OpenAI’s cultural significance and technological prowess, Figure AI’s decision to part ways is unexpected. Just last August, the companies revealed that the upcoming Figure 02 humanoid would leverage OpenAI’s models for natural language communication. However, Adcock attributes the split to the challenge of seamless integration. While OpenAI excels in artificial intelligence, its expertise lies primarily in large-scale models rather than embodied AI—the intersection of AI and robotics.
“To solve embodied AI at scale in the real world, you have to vertically integrate robot AI,” Adcock told TechCrunch. “We can’t outsource AI for the same reason we can’t outsource our hardware.”
Interestingly, OpenAI is not solely invested in Figure AI. The firm has also backed Norwegian robotics startup 1X, which focuses on humanoid applications within residential spaces. While Figure AI has explored home-use robotics, its primary focus remains on industrial applications. Automakers, with their deep pockets and need for automation, present a more viable market. In line with this, BMW began deploying Figure robots at its South Carolina factory last year.
Meanwhile, OpenAI may be developing its own humanoid robotics ambitions. A recent trademark application filed with the U.S. Patent and Trademark Office (USPTO) references “user-programmable humanoid robots” with communication and learning functions. While such filings do not guarantee product development, the timing raises speculation about OpenAI’s long-term plans in the humanoid robotics space.
Figure AI’s decision to develop proprietary AI aligns with a broader industry trend. Many humanoid robotics companies are building bespoke AI models to optimize performance and integration. Boston Dynamics, for example, recently partnered with Toyota Research Institute to enhance the intelligence of its Atlas humanoid robot.
Developing AI in-house offers significant advantages. It allows for a seamless ecosystem where software and hardware are designed to work in perfect harmony—an approach famously championed by Apple. However, this method is also resource-intensive and demands considerable expertise and financial backing. Figure AI’s substantial funding rounds have positioned it well for this challenge, enabling rapid expansion of both its hardware and software teams. To accommodate this growth, the company recently moved into a larger Bay Area facility.
Main Image: The Robot Report