Allbirds Renames Itself Smartbird, Pivots to AI Infrastructure After Selling Footwear Brand

Allbirds, once a prominent competitor to Nike in the sustainable footwear market, has officially changed its name to Smartbird Inc. This rebranding signifies a complete pivot from its origins in shoe manufacturing to establishing itself as an artificial intelligence infrastructure company.

The transition follows the company's earlier decision to sell the Allbirds brand and its footwear business. Smartbird has also appointed technology executive Nadia Carlsten as its new president and CEO. Carlsten brings significant experience in artificial intelligence and cloud computing, having previously held leadership roles at DCAI, Google's AI spin-off SandboxAQ, and Amazon Web Services.

Smartbird aims to provide AI computing infrastructure and cloud services to businesses requiring powerful graphics processors for artificial intelligence workloads. "Smartbird is entering the market at a pivotal moment in the evolution of AI infrastructure," Carlsten stated. "AI is rapidly becoming mission-critical for organizations across every industry, yet many organizations lack a practical path to deploy and operate the dedicated infrastructure these workloads require."

To support this new strategy, Smartbird has increased its convertible financing facility from $50 million to $100 million. This capital will be used to acquire high-end AI hardware and expand its computing capacity. The company indicated it is already in discussions with potential clients regarding its initial AI infrastructure deployments.

Allbirds, founded in San Francisco, achieved rapid growth as a sustainable footwear startup, gaining a following for its minimalist sneakers made from materials like wool. The brand was often compared to major players like Nike and Adidas, benefiting from celebrity endorsements and a public listing during a pandemic-era retail boom. However, the company struggled with profitability, never reporting an annual profit. In 2025, net sales decreased by nearly 20 percent to $152.5 million, with a net loss of approximately $77 million. Earlier in 2025, Allbirds announced the closure of its remaining full-price U.S. stores and subsequently agreed to sell its intellectual property, brand rights, and footwear assets for approximately $39 million.

The publicly traded company will continue to trade on the Nasdaq under the ticker symbol 'BIRD'. The announcement of the name change and pivot previously led to a surge in its stock price in April. However, market reaction has also included skepticism, with some observers comparing the move to dot-com era speculation and noting the broader trend of companies shifting focus to AI.

While the company leaves the footwear industry, the Allbirds brand and its shoe business will continue under new ownership through a partnership with American Exchange Group and licensing platform WSG Brands.