Carl Pei’s “Nothing” is Redefining the Smartphone Game for a New Generation
The global smartphone market is one of the toughest industries to break into. It’s crowded with giants like Apple and Samsung, and history is littered with failed attempts by newcomers trying to make their mark. Yet, against the odds, Carl Pei — co-founder of OnePlus and now CEO of Nothing — seems to have discovered a way to stand out.
The London-based startup, now valued at $1.3 billion, has quickly become one of the most talked-about challengers to the tech elite. Instead of trying to be everything to everyone, Pei is deliberately targeting a younger generation of users who are craving something different.
“Our users are very young,” Pei said on Alex Heath’s Access podcast. “It’s pretty much impossible to be popular among everybody in the world at the very beginning, so we got to pick a lane.”
Why Nothing Resonates with Young People
Pei and his team have identified a clear niche: young consumers who want to express individuality through their devices. While Apple’s sleek ecosystem still dominates, its cultural allure isn’t as strong among Gen Z and young millennials as it once was. Many of them didn’t witness Apple’s meteoric rise firsthand, making the brand feel more “mainstream” than revolutionary.
Pei revealed that the average age of a Nothing customer is 26, a striking contrast to Samsung’s average user age of 45. Apple’s audience remains broad, with about 70% of its users between 18 and 44, according to 9to5Mac. But Pei’s strategy isn’t to chase Apple’s wide demographic. Instead, Nothing focuses on creating a strong emotional bond with a specific, style-conscious and tech-savvy group of young users who want to stand apart.
Carving Out a Niche in a Crowded Market
As of the first quarter of 2025, Samsung leads the global smartphone market, with Apple close behind. A handful of Chinese manufacturers round out the top players. Nothing, though still far smaller, has managed to make itself heard — not by competing directly on scale, but by owning a unique aesthetic and brand identity.
Founded just five years ago, Nothing has grown to a team of 800 to 900 employees and is on track to hit $1 billion in annual revenue. This rapid rise underscores the demand for devices that don’t just work well, but make a statement.
Design That Speaks Volumes
Nothing’s smartphones — including the Phone (2) and Phone (3) — are priced between $300 and $700, positioning them as premium yet accessible. Their standout feature is their design: a transparent back that exposes internal hardware, giving the device a futuristic, tech-art aesthetic.
In its review, Business Insider described the Phone 2’s look as “striking,” highlighting its “surprisingly good camera” and smooth performance despite using a slightly older processor. This emphasis on style without sacrificing function is central to Nothing’s appeal.
Pei’s Strategy: Coexistence, Not Competition
Carl Pei isn’t under any illusion that Nothing will dethrone Apple overnight. Instead, he’s thinking about the long game.
“We’re not trying to outpace Apple right now,” Pei explained. “It’s about pacing ourselves and figuring out how both companies can coexist.”
Rather than competing head-to-head with the iPhone, Nothing is exploring “new form factors” — devices that could work with Apple products instead of against them. By expanding its ecosystem beyond phones to smartwatches, headphones, and even apparel, the company is building a lifestyle brand around its distinctive design language.
The Power of Community and Identity
What sets Nothing apart isn’t just its products, but its community-first approach. The brand taps into a generation that values authenticity, self-expression, and minimalism. Its transparent hardware design isn’t just an aesthetic choice — it symbolizes openness and individuality, qualities that resonate with younger consumers tired of homogenous tech.
This cultural positioning could prove to be Nothing’s biggest asset. While Apple and Samsung dominate with sheer market power, Nothing is quietly cultivating loyalty and identity, which can be just as powerful in the long run.
Looking Ahead
The smartphone market may seem impenetrable, but Carl Pei and Nothing are proving there’s room for innovation if you pick the right lane. By aligning with younger users and focusing on design, culture, and niche identity, Nothing is setting the stage for a new kind of smartphone brand — one built not just on specs, but on meaning.
With its strong community, clear brand vision, and bold design choices, Nothing isn’t just selling phones. It’s selling a statement.
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