True Ventures co-founder Jon Callaghan predicts significant changes in mobile technology within the next decade, asserting that current smartphone usage will evolve dramatically—if not disappear entirely. This forecast isn’t mere speculation; it reflects an investment strategy that has proven successful for True Ventures, a firm recognized for its calculated risks and impressive portfolio, which includes successful brands like Fitbit and Peloton.
Operating with a stealthy approach, True Ventures manages approximately $6 billion across various funds, prioritizing a robust network of repeat founders rather than engaging in high-profile marketing efforts. Callaghan reports that the firm has achieved 63 profitable exits and seven IPOs from a diverse portfolio of around 300 companies over its 20-year history, showcasing their adeptness in identifying emerging trends.
Callaghan firmly believes that smartphones are inefficient as a means of interfacing with technology. He argues that their current functionality disrupts daily life and leads to communication errors, stating, “We’re not going to be using iPhones in 10 years.” His vision reflects True’s ongoing commitment to exploring innovative interfaces—both software and hardware—beyond conventional smartphones.
One notable innovation from True’s portfolio is Sandbar, branded a “thought companion.” This voice-activated ring, worn on the index finger, is designed specifically for capturing and organizing thoughts through voice notes, representing a shift toward more intuitive interactions with technology. Callaghan emphasized that Sandbar is not merely another smart device; its primary function addresses a fundamental human need often overlooked in current technology.
The alignment of True with Sandbar’s founders, Mina Fahmi and Kirak Hong, is attributed to a shared vision of technology improvement and human interaction. With previous experience in neural interfaces, the duo aims to develop products that enhance communicative behavior through innovative design rather than introducing yet another gadget.
In an era of rising investment in artificial intelligence, Callaghan maintains a disciplined approach to funding, focusing on seed-stage investments instead of following the trend of massive capital raises. He identifies potential pitfalls in the market, cautioning against unsustainable financing cycles tied to hyperscale infrastructure investments.
Looking ahead, Callaghan is optimistic that the most significant advancements will emerge in the application layer of technology, where novel interfaces will catalyze new behaviors in users. He concludes that successful investing often involves navigating uncertainty while believing in the potential of a strong team and innovative ideas.
As the smartphone market stagnates, growing at a mere 2% annually, the rise of wearables—such as smartwatches and voice-enabled devices—demonstrates a shift in consumer interaction with technology. According to Callaghan, this evolution makes it imperative to recognize the impending obsolescence of the smartphone, prompting True Ventures to strategically adapt its investments to align with these emerging trends.
