XR Weekly Highlights: Xiaomi AI Glasses Expected This Month; Meta's Layoffs

Introduction

Welcome to this week's roundup of the most significant events in the XR (Extended Reality) industry. From international developments to domestic advancements, and from gaming news to future projections, we've got you covered.

International News

1. Meta's Strategic Moves: Layoffs, Departure, and New Product Plans

Meta has been making headlines this week with a series of strategic moves. The company announced plans for a company-wide layoff, expected to affect about 5% of its workforce, or approximately 3,600 employees. This is the largest layoff since 2022 and 2023, when Meta cut over 21,000 employees. The layoffs are part of Meta's efforts to improve efficiency and focus on performance.

In addition to the layoffs, Meta is also speeding up the recruitment of machine learning engineers. The company's Chief Technology Officer, Andrew Bosworth, emphasized that 2025 will be a critical year for the Metaverse, stating that it will either be a "visionary feat" or a "legendary disaster." Meta is determined to make significant progress this year, with plans to launch over six AI-driven wearable devices.

However, the company is also facing challenges. The Reality Labs department, responsible for Meta's XR initiatives, reported a record operating loss of $17.73 billion in 2024, despite generating $2.15 billion in revenue. This has raised questions about the sustainability of Meta's XR strategy.

2. Apple's Vision Pro Updates

Apple has been making strides in the XR space as well. The company's M5 chip has entered mass production and is expected to debut in the iPad Pro in the second half of 2025. An upgraded version of the Apple Vision Pro, featuring the M5 chip, is anticipated to be released between fall 2025 and spring 2026.

Additionally, Apple has filed a patent for a "handheld input device," which is speculated to be a game controller. This development is significant as Apple initially promoted the Vision Pro as a hands-free device, relying on eye and hand tracking. The introduction of a controller could enhance the device's functionality and user experience.

Domestic News

1. Xiaomi's AI Glasses on the Horizon

Xiaomi has obtained the necessary network access permits for its AI glasses, with multiple products, including smartwatches, TWS earphones, tablets, and more, also passing certification. The Xiaomi AI glasses are expected to be unveiled alongside the Xiaomi 15 Ultra at the end of February or in the second quarter of 2025.

The official Weibo account for Xiaomi glasses has already gone live, generating significant industry attention. With over 6,700 followers, the account has yet to post any content but has already sparked anticipation for the upcoming product.

2. Goer Optics' Breakthrough

Goer Optics has unveiled a new AR full-color waveguide display module, the Star G-E1, at the SPIE AR | VR | MR conference. This module uses high-refractive-index materials and surface浮雕 (relief) etching grating technology, offering high uniformity, brightness, and low stray light. The Star G-E1 can achieve a peak brightness of 5,000 nits, with brightness uniformity exceeding 45% and color difference less than 0.02, significantly improving image quality and color representation.

Gaming News

1. Layoffs and Studio Closures

The gaming industry has seen some setbacks this week. Fast Travel Games, the studio behind "Action Hero" and "Vampire: The Masquerade — Justice," announced layoffs of 30 employees, accounting for 60% of its workforce. Meanwhile, nDreams, the developer of "Synapse" and "Fracked," closed two internal VR studios and restructured its remaining staff into a new studio, Compass.

These developments highlight the challenges faced by VR game developers, including poor discoverability, low conversion rates on store pages, and an overall downturn in the VR market. Many developers are now shifting their focus to platforms like Steam, PlayStation, and Android XR.

2. Meta's Focus on Hardware

Meta's legendary programmer, John Carmack, recently stated that the rhythm game "Beat Saber" has been more important for VR adoption than "Half-Life: Alyx." He emphasized the importance of standalone VR games in driving user engagement. However, Meta's current focus on hardware development raises concerns about the potential neglect of content ecosystems, which are crucial for the success of the XR industry.

Future Outlook

1. AI Smart Glasses Market Growth

According to a report by Wellsenn XR, global AI smart glasses sales reached 1.52 million units in 2024, with domestic sales accounting for 3% (50,000 units) and overseas sales accounting for 97% (1.46 million units). The report predicts a significant increase in 2025, with global sales expected to reach 3.5 million units, a 230% increase from 2024.

Ray-Ban Meta smart glasses have been the dominant player in the market, known for their design and functionality. With more manufacturers entering the market and new products on the horizon, the competition in the AI smart glasses sector is expected to intensify, making 2025 a pivotal year for this technology.

Conclusion

This week's XR industry news has highlighted significant developments both internationally and domestically. Meta's strategic moves, Apple's advancements, and Xiaomi's upcoming AI glasses are all indicators of the industry's dynamic nature. As the market for AI smart glasses grows and new products emerge, the XR landscape is poised for exciting changes in the coming year.