A portable device fueled by artificial intelligence (AI) created by the startup Rabbit Inc is rapidly gaining popularity after captivating consumers’ interest upon its recent launch this month as a novel means of engaging with AI beyond smartphones and computers.
Founded by Chinese tech innovator Jesse Lyu Cheng, Rabbit introduced its R1 gadget priced at US$199, which was revealed in Las Vegas concurrently with CES 2024 earlier this month. The device has witnessed a swift sell-out of five pre-order batches since its debut.
Although Rabbit, headquartered in Santa Monica, did not showcase at CES, the well-timed release has attracted significant attention from both consumers and tech enthusiasts to the compact orange device designed to complement users’ array of gadgets. Recently, the company announced the commencement of pre-orders for a sixth batch of 50,000 Rabbit R1 devices following the rapid sell-out of its most recent batch of 10,000 units.
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Following the introduction of ChatGPT in 2022, which propelled large language models (LLMs) and generative AI into the spotlight, startups and tech giants worldwide have been racing to explore the next wave of AI-driven devices that could redefine human-machine interactions, surpassing the capabilities of today’s app-centric smartphones. Leading companies in the industry such as Xiaomi and Huawei Technologies, as well as laptop manufacturers like Dell, Lenovo, and HP, are all betting on AI-powered smart devices this year.
Lyu, the CEO of Rabbit, envisioned making a dedicated AI-powered device accessible to billions of consumers. In a product launch video, he expressed that despite the recent advancements in LLMs making it easier for machines to comprehend human interactions, “these digital assistants still face challenges in accomplishing tasks.”
“We aimed to enable our AI to initiate actions on behalf of users across various platforms… iOS, Android, and desktop,” he elaborated in the video.
In collaboration with the design agency Teenage Engineering, the vibrant orange gadget boasts a retro appearance reminiscent of a handheld video game console from the 1990s. It features a clickable scroll wheel for navigating the device’s integrated functions, including voice commands. Positioned above the wheel is a swiveling camera for capturing photos and videos, adjacent to a 2.88-inch touchscreen. Its compact size and lightweight design, weighing just 115 grams, make it easily portable.
This standalone device operates independently without the need for connection to another device, running on a 2.3GHz MediaTek processor with 4GB of RAM and 128GB of storage capacity.
The distinguishing feature of the R1 is its unique operating system built on a “large action model,” a proprietary foundational model developed in-house to understand user intentions and behaviors. By observing how a user interacts with apps like food delivery or ride-hailing services, the device can replicate those actions upon command.
Since the release of the R1 launch video on YouTube on January 9, it has garnered over 4.8 million views and 56,000 likes. As of December, Rabbit has secured $36 million in funding from investors in the US, Canada, and South Korea, as reported by PitchBook, a platform tracking private equity deals.
Lyu pursued studies in financial mathematics at Xian Jiaotong-Liverpool University in Suzhou and the University of Liverpool in the UK. During his final year at the University of the Arts London, he established Timeet, a social media platform that connected users based on their schedules. Lyu has been recognized twice on Forbes’ 30 Under 30 Entrepreneurs list, according to Chinese media outlets.
Born in 1990 in Xian, the capital of northwestern Shaanxi province, Lyu is renowned as a prominent tech entrepreneur. Prior to Rabbit, he founded Raven Tech, a smart home AI device company in 2014. Raven was acquired by the Chinese AI and search engine titan Baidu in February 2017 in a reported $90 million deal.
Similar to Rabbit, Raven garnered significant attention from venture capital firms and was the sole Chinese firm to receive funding from the California-based technology incubator Y Combinator. Before the acquisition, Raven raised $15 million in Series A funding from DCM Ventures, ZhenFund, and Matrix Partners China, according to PitchBook.
Lyu’s tenure at Baidu was brief as he departed from the Chinese tech conglomerate in July 2018. Subsequently, he joined the board of Teenage Engineering in May 2020, as indicated on his LinkedIn profile, and established Rabbit four months later.
