Why are Meta and Snap pouring billions of dollars into AR glasses?

Augmented reality (AR) glasses represent a major technological leap, defining the next generation of computing and prompting major companies to invest heavily in their development.

After a decade of development and billions of dollars in investment, Meta CEO Mark Zuckerberg unveiled one of his most ambitious projects: a prototype augmented reality glasses called Orion. A week earlier, Snap CEO Evan Spiegel took the stage at the company's annual Partner Conference to introduce the 5th generation Spectacles glasses, which incorporate AR technology.

A simulated image of augmented reality (AR) glasses.

Both of the world's leading companies see the enormous potential of this technology, with the vision that AR glasses could replace smartphones as the next generation of computing. "This is a huge technological leap forward that will define the next generation of computing," said Chris Cox, Meta's chief product officer, in an interview with CNBC.

The dream of augmented and mixed reality glasses is something that tech giants have been pursuing for years.

Earlier this year, Apple began selling its Vision Pro augmented reality glasses for $3,500. Over a decade ago, Google was the first company to launch one in 2013 with Google Glass, an early attempt at an AR device, but the product encountered numerous obstacles and was eventually canceled. Microsoft also invested in AR technology for over a decade, launching the HoloLens glasses in 2016. Failing to gain traction, the HoloLens ceased production.

What is AR technology?

Augmented Reality (AR) technology is a virtual reality technology developed by manufacturers based on VR technology. Augmented reality focuses on combining the real world with virtual information, rather than separating the user into a separate space like virtual reality. It can support interaction with virtual content in real life, such as touch, and can overlay images onto real images, etc.

"We are in our infancy. We see a lot of potential but haven't yet achieved our goals," said Tuong Nguyen, an analyst at Gartner.

Although Snap and Meta have launched AR prototypes, they are still years away from selling those devices to consumers. The technology is too expensive to mass-produce. For now, Meta plans to use the Orion glasses as a device for its development staff.

"Meta will primarily use augmented reality (AR) glasses internally to build the necessary software. We will also collaborate with a number of partners to ensure this product diversity in the future," Zuckerberg stated at the Meta Connect conference held by the company in September.

Similarly, Snap plans to invest in building an AR glasses rental ecosystem for developers who are committed to paying $99 per month for a year for Spectacles augmented reality glasses.

"Snap has been trying to lower the barriers for everyone to start accessing this new technology. We are at an opportune moment, where both consumers and developers are ready for something new," Snap CEO Spiegel shared.

(Source: CNBC)

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