Only 5,000 Users out of 100,000 Buyers Use Rabbit R1 Daily: Is the Hype Going Down?

Rabbit R1 has just 5,000 active users, the founder said.

When the Rabbit R1 launched, it was all about the future of AI gadgets-over 100,000 units sold seemed very bright. Five months later, only 5,000 users remain daily. Even though it listened to users' complaints about its battery drain problem, it wasn't enough to attract more consumers.

This steeply declining figure unveiled by Rabbit founder Jesse Lyu shows how fast hype over AI can dissipate when expectations aren't met.

Lyu admitted the R1 was rushed into the market to beat the competition from big tech companies. Unfortunately, this half-baked launch left the R1 feeling half-cooked, and users quickly lost interest.

AI Gadget Boom That Fizzled

Rabbit founder Jesse Lyu admitted that 100,000 users bought Rabbit R1 but only 5,000 of them are active users despite 16 over-the-air updates since its launch. Rabbit

Earlier this year, the Rabbit R1 and Humane's AI Pin were the most exciting latest AI gadgets. Both had much hype built around them; the R1 was making all the buzz since its CES debut, and Humane's AI Pin was shrouded in mystery till its unveiling.

"The fact is, the early bad reviews didn't kill us, right?" Lyu told Fast Company.

Neither of these promises by their makers did much for the product, though. David Pierce from The Verge wrote in his review of the R1, "The whole thing just feels broken."

This may explain why Humane absorbed more AI Pins than it sold and why the Rabbit R1 quickly became a pariah. There was too much hype surrounding the devices for a followthrough in longer-term user engagement.

Read Also: Reddit's AI Translation Tool to Change the Game: Say Goodbye to Language Barriers

Do AI Gadgets Have a Future?

No matter how advanced AI systems are, AI-powered gadgets cannot guarantee success.

For instance, AI on phones is so slick that when even the latest and greatest AI gadget does exactly what it claims, it often makes you feel you are already well enough off.

People expect seamless, integrated experiences, and their smartphones deliver that better than single-purpose devices.

And yet, there is still little light at the end of the tunnel for AI-forward devices.

Meta's Ray-Ban smart glasses appear to be one of the stronger arguments for AI in isolated hardware, blending fashion and tech into one whole cloth. And as whispers spread around Jony Ive's alliance with OpenAI, one can almost bet that innovative AI devices haven't hurried off to their rabbit holes either.

Rabbit's Last Hope: The 'Large Action Model' Update

Rabbit hopes that renewed interest in R1 will come with its new "big action model" update planned for roll on Oct. 1. The device is expected to be able to log into websites, order plane tickets, or even book dinner reservations for users—once you get it back on, everything will seem like a personal assistant in the pocket.

However, with both Apple and Google now working on local AI solutions that can interact across multiple apps and perform similar functions directly on your smartphone, it's tough to see how the R1 will win back those users. Why tote an extra device when your phone can do it all?

Verdict on AI Gadgets

The future of standalone AI gadgets like the Rabbit R1 remains uncertain.

While there is plenty of room for innovation in the space, signs of late seem to suggest consumers like the ease and power of a smartphone. The Rabbit R1's tale of hype to brutal decline is one not to forget as AI devices continue: promises must be delivered, and integration into users' already-deployed technology must be the key to that longevity.

Related Article: Emerging AI Hardware Devices to Challenge Smartphones - Or Is It Too Soon?

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