Rabbit released OS3 on Tuesday, describing it as a standalone 'agentic operating system' designed to work across multiple screens. It is the company's first major software update since the controversial launch of the R1 in 2024.

Rabbit reported delivering more than 100,000 R1 devices worldwide, with return rates of less than 5 percent, and earning a 45 to 50 percent margin on the hardware. That compares with the company's initial launch, which received scathing reviews and a 3/10 rating from WIRED.

OS3 is built on Rabbit's DLAM (Direct Large Action Model) technology and targets users who already own compatible hardware, such as the R1. Availability begins immediately, initially for users of the R1 and those who access it through a desktop browser, Telegram, or iMessage.

"We've been through all of this a year and a half ago," said Jesse Lyu, CEO and founder of Rabbit. He explained that the company's early focus on agentic AI hardware, like the R1, was ahead of its time but faced significant challenges due to limited resources and market readiness.

The announcement follows a period of financial strain for Rabbit, including a planned launch in India that was stymied by regulations and a handful of employees going on strike over unpaid wages. Rabbit says it has since secured more funding and is on stronger footing.

Rabbit did not say when it will release a new hardware device, and it has no plans for an R2. Instead, its next hardware release, slated to arrive within 'months,' is described as a Cyberdeck—a dedicated 'vibe coding' machine that will run OS3.

Source: wired