VR/AR Industry Highlights During the Spring Festival: Meta's Growth, Apple'

The Spring Festival holiday has come to an end, and as we wish each other a prosperous start to the new year, let's take a look at the significant events in the VR/AR industry that took place during the holiday.

International Highlights

Meta's Impressive Growth

Meta's Reality Labs, responsible for the company's VR and AR initiatives, reported a 40% increase in sales for 2024. The department's Q4 revenue reached $1.083 billion, a 1.12% year-on-year increase, with a full-year revenue of $2.146 billion, up 13.19% from the previous year. Despite a loss of $4.967 billion in Q4 and $17.729 billion for the full year, Meta's investment in Reality Labs, which has exceeded $50 billion over the past four years, is starting to pay off.

Meta's Chief Technology Officer, Andrew Bosworth, shared that Reality Labs has surpassed its 2024 sales and usage targets. The popularity of the Ray-Ban Meta smart glasses has been a key driver, with over 1 million units sold in 2024. Meta plans to increase sales to 2 million units in 2025 and further to 5 million units subsequently. Mark Zuckerberg, Meta's CEO, envisions that these glasses will eventually replace smartphones as the primary connection medium.

In addition, Meta's Quest 3 and 3S headsets saw a significant increase in SteamVR market share in January 2025. The share of Quest 2 decreased by about 2.5%, while Quest 3 and 3S increased by 6%. The combined share of Quest 3 and 3S reached 28%, closing the gap with Quest 2's 31%. Meta is also reportedly working on a successor to the Quest Pro, with plans to launch six new AI wearable devices in 2025.

Apple's Setback

Apple has reportedly shut down a potential AR glasses project, codenamed N107. This project was seen as a potential direction following the lackluster market response to the Vision Pro. The N107 glasses were designed to allow users to see the real world through the lenses while also displaying augmented reality content. However, the project faced issues with pairing with the iPhone, as the phone's computational power was limited and affected battery life. Attempts to connect with Mac computers also failed to meet expectations, leading to the project's cancellation.

This is not the first time Apple has abandoned an AR glasses project. Previously, a project codenamed N421 was canceled, partly to focus on developing a more affordable version of the Vision Pro. Apple is still working on the underlying technology for future AR glasses, including custom microLED screens, and is reportedly developing a new version of the visionOS system that will support smart glasses.

Samsung's New Moves

Samsung may be preparing to launch a new mixed reality headset, as suggested by recent trademark applications in the UK and New Zealand for "Samsung Beyond." The trademark covers a range of products, including VR, AR, and XR headsets. However, Samsung may face trademark disputes, as another company, BigScreenVR, has already used the name "Beyond" for its products.

Samsung's new headset, developed in collaboration with Google under the "Moohan" project, is still in the prototype stage. The device is rumored to be priced significantly lower than Apple's Vision Pro, potentially half the price. However, the device's design and features have been criticized for closely resembling Apple's Vision Pro.

Domestic Highlights

Flash Extreme's Successful Crowdfunding

On January 29, 2025, Flash Extreme's overseas AI smart glasses brand, Loomos AI, launched a crowdfunding campaign on Kickstarter. Within 24 hours, the campaign had already raised over $1 million, a remarkable achievement. Loomos AI is the third domestic AI smart glasses product to be crowdfunded on Kickstarter, following Looktech and Halliday, and all three have exceeded $1 million in funding.

Immersive VR Experience at the Spring Festival Gala

During the Spring Festival Gala, a multi-language immersive VR experience project titled "Forever Prosperous Tang" was showcased. This project, which combines Chinese aesthetics with technological charm, provided an innovative immersive experience that allowed foreign audiences to experience the unique charm of Luoyang's Tang Dynasty culture.

Conclusion

The VR/AR industry saw significant developments during the Spring Festival holiday. Meta's strong growth and new product plans, Apple's setback in its AR glasses project, and Samsung's potential new mixed reality headset are all important events that will shape the industry's future. Domestically, the success of Flash Extreme's crowdfunding and the immersive VR experience at the Spring Festival Gala demonstrate the ongoing innovation and progress in China's VR/AR sector. As the industry continues to evolve, we can expect more exciting developments in the coming year.