SAN FRANCISCO, Jan 28, 2026, 07:03 (PST)
- Snap created Specs Inc as a fully owned subsidiary, leaving space for outside investors to take a minority stake
- Meta has halted the international rollout of its Ray-Ban Display glasses due to demand outpacing supply.
- An IDC analyst predicts that software and the app “ecosystem” will outweigh hardware advancements in importance
Snap Inc announced Wednesday that it has spun off Specs Inc into a separate, wholly owned subsidiary dedicated to its augmented reality smart glasses. The shift is designed to provide sharper focus and greater “capital flexibility” as the company pushes toward a public launch later this year. (Snap Newsroom)
The timing highlights just how fast eyewear is turning into a hotspot for artificial intelligence — software that responds to spoken commands and handles tasks. Earlier this month, Meta put a hold on rolling out its Ray-Ban Display glasses beyond the U.S., pointing to tight inventory and waitlists stretching “well into 2026.” (Reuters)
Alphabet’s Google is re-entering the wearables market. Warby Parker announced in December that it’s collaborating with Google on lightweight, AI-driven glasses set for release in 2026. These will run on Google’s Android XR platform and use the Gemini model. (Reuters)
Snap confirmed Specs will accept minority investors and is hiring for nearly 100 positions worldwide ahead of its launch. The glasses are set to feature an “intelligence system” designed to predict user needs and assist with tasks. Francisco Jeronimo, IDC’s vice president, pointed out that success depends on “ecosystem integration and software value” — essentially, the apps and services surrounding the device. IDC estimates Meta claimed 70% of smart glasses unit share last year. (Reuters)
Snap refers to Specs as an augmented reality product, with glasses that layer digital images over the wearer’s real-world view through transparent lenses. In previous previews, the company pitched Specs as a lightweight wearable computer that merges digital effects with the physical environment. (Snap Newsroom)
Snap hasn’t revealed when or at what price the consumer version will drop. CEO Evan Spiegel mentioned that Specs will be cheaper than Apple’s $3,499 Vision Pro headset. The company has also highlighted software updates on its developer Spectacles as a glimpse into the glasses’ potential functionality. (The Verge)
Snap has been securing AI partners for its flagship app. In November, the company announced a deal with AI search firm Perplexity, where Perplexity will pay Snap $400 million over the course of a year, in cash and equity. This partnership will bring Perplexity’s answer engine to Snapchat starting early 2026. “Our goal is to make AI more personal, social, and fun,” said Spiegel. (Snap)
For Specs, the challenge isn’t just the demo. Snap needs practical daily applications, a solid developer community, and enough apps to keep users hooked after the initial excitement wears off.
In a recent demo, Specs product manager Russell Patton highlighted how the glasses’ “spatial nature” unlocks experiences that “aren’t possible with a phone.” (TechCrunch)
Meta is aiming big. According to Bloomberg News, Meta and eyewear giant EssilorLuxottica might double production of their AI-driven Ray-Ban glasses to 20 million units annually by the close of 2026. Reuters, however, couldn’t independently confirm that claim. (Reuters)
But this category comes with serious risks. Beyond the expenses of mass-producing hardware and managing supply chains, smart glasses also spark privacy worries due to built-in cameras that can capture people nearby. “AI smart glasses raise significant privacy concerns,” said Kleanthi Sardeli, a lawyer at the European digital rights group NOYB. She highlighted issues around data usage and whether bystanders receive clear notice. (Reuters)
Snap’s revamped structure makes it easier to form partnerships and attract external funding without overhauling the entire company. The key milestones now boil down to a clear launch date, identifying the backers behind the unit, and proving the product can scale to significant volume.
