The much-anticipated launch of Snap's (SNAP -5.87%) Specs augmented reality (AR) glasses took place on Sept. 16. The glasses aren't cheap, costing $2,195, with a $200 deposit required to reserve a pair.
NYSE: SNAP
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The high-tech wearable was unveiled in June of this year. Not long after, Snap announced partnerships with a host of AI and tech leaders, including Nvidia, Amazon, and Salesforce, in the hopes that its Specs would find a place in real-world settings as well as the workplace.
Since the announcement of Specs, Snap's stock has been volatile. In the trading session following their introduction in June, the stock fell by nearly 10%, and it declined further through the rest of the month. Investors worried that demand won't materialize for the devices at such a high price, and it's unclear whether they will be profitable.
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CEO Evan Spiegel has not yet publicly disclosed the number of preorders or the total deposits for the Specs. Augmented reality glasses have yet to infiltrate the mainstream. TrendForce forecasts that just 950,000 AR glasses will ship this year. Meta Platforms controlled about 69% of the smart glasses category in 2025, having delivered approximately 7 million pairs to customers. Meta's smart glasses are also far less expensive.
Snap's stock has fallen by more than 90% over the past five years, and its pivot into smart glasses feels like a last-ditch effort to save the social media company. How the mass market receives Specs will be a major determinant of whether the company can produce the turnaround it so desperately needs.
