The Rabbit R1, a recently unveiled compact AI-powered tool, experienced a rapid sell-out of its initial batches at the Consumer Electronics Show 2024. Initially priced at an accessible $199, the device quickly became a target for resellers who listed it on eBay for inflated prices up to $750 shortly after pre-orders were exhausted.
Secondary Market Inflation
On eBay’s secondary market, the R1’s price ranged significantly, with the lowest resale value hitting $300—still a substantial markup from the initial offering. A particular reseller placed two high-priced listings, with one receiving bids pushing the cost to $690, testing the limits of consumer willingness to pay.
Company Response to Scalping
Jesse Lyu, the founder and CEO of Rabbit, publicly condemned the scalping activity on social media, encouraging prospective buyers to avoid paying such exorbitant prices and discourage this practice.
The Rabbit R1’s standout feature is its Large Action Model AI, which allows the gadget to operate various applications after being trained by humans. This technology enables users to instruct the device in carrying out specific tasks, as showcased through a live demonstration.
At CES24, Lyu demonstrated the R1’s capabilities, including suggesting recipes based on scanned fridge contents, highlighting the device’s ability to learn and perform tasks without the need for dedicated apps.
Despite the eBay reselling controversy, the R1 remains affordably priced for direct purchasers. Its first delivery is scheduled for March, with the tech community eagerly awaiting to assess whether the device will fulfill its potential.
