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Apple Terminates Development of Augmented Reality Spectacles Initiative

Apple seemingly struggles to identify its future direction, post the Vision Pro's poor performance.

Apple Terminates Development of Augmented Reality Spectacles Initiative

It seems Apple has changed its tune when it comes to augmented reality (AR) glasses. According to a report by Bloomberg's Mark Gurman, the tech giant has axed a secret project, codenamed N107, that aimed to create AR glasses similar to Meta's Ray-Ban smart glasses.

The project faced several stumbling blocks, including challenges with battery life and the miniaturization of powerful processors and high-resolution displays in a glasses form factor. An initial version intended to connect to an iPhone, but the handset's processing power struggled, and battery life suffered dramatically. Apple then tried pairing the glasses with Mac devices, but the results still fell short of expectations. The company eventually called it quits on the project earlier this week.

Apple's decision to ditch the AR glasses project is a tacit admission that the tech giant may not have mastered the VR/AR space just yet. The Apple Vision Pro headset, introduced in 2023, is a marvel of technology with next to no practical applications and a sky-high price tag of $3,499. Despite spending most of 2024 revising projected sales figures, Apple estimated it would only sell 500,000 units, with little indication that the market would soon open up.

Meanwhile, Meta appears to have figured out the AR glasses code, at least when it comes to sales. The company's collaboration with Ray-Ban produced over 1 million units sold in 2024, as reported in an all-hands call. This success is likely due, in part, to the glasses' reasonable price point starting at $300, making them more accessible to consumers.

Meta is also bullish on wearables, with CEO Mark Zuckerberg envisioning billions of AI glasses sold in the future. The company is reportedly working on an Oakley-style AR glasses project for athletes and a Ray-Ban follow-up called Hypernova with a heads-up display.

Apple, however, seems to be regrouping. The company has concepts for a follow-up to the Vision Pro headset and an AirPods model with cameras in the works, according to Bloomberg. But the plans seem less like a confident company with a clear vision and more like a company throwing ideas against the wall to see what sticks.

  1. Despite axing the N107 project, Apple's future in the VR/AR space remains uncertain, as demonstrated by the high price and limited applications of their Vision Pro headset.
  2. Reports suggest that Apple is exploring new ideas, such as a follow-up to the Vision Pro headset and camera-equipped AirPods, but these efforts lack the clarity and focus seen in Meta's successful AR glasses projects.
  3. In contrast, Meta's collaboration with Ray-Ban and their Oakley-style and Ray-Ban Hypernova AR glasses projects indicate a strong commitment to the AR glasses market and a focus on making the technology more accessible to consumers.
  4. Given Meta's success with AR glasses and Apple's struggles, it's likely that tech giants will continue to invest in augmented reality technology, and affordable, high-quality AR glasses may become a common sight in the future.

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