Meta Stock Defies Tech Market Rout by Debuting Its Own Brand of Smart Glasses At A $299 Price Point
Complete. Here is the key summaryMeta debuted its own brand of smart glasses, the Adventurer and Fury models at $299, marking a shift to lower-cost in-house designs. This move aims to meet demand for accessible pricing, undercutting previous Ray-Ban collaborations. EssilorLuxottica will handle production. Meta also introduced a $399 Kylie Jenner model and is considering camera-free options. The launch positions Meta against upcoming Apple smart glasses, with analysts maintaining a Strong Buy consensus on META stock.
Meta stock (META) showed notable resilience today, slipping only 0.3% in premarket trading even as the broader tech sector suffered heavy losses. Against this backdrop, Meta is moving down-market by launching smart glasses under its own brand for the first time.
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While Meta previously focused on partnerships with famous brands like Ray-Ban and Oakley, the company is now releasing the Meta Adventurer and Fury models for $299 each. This new price is $80 cheaper than the second-generation Ray-Ban Meta Wayfarer model from last year. Meta also introduced a $399 Starfire model made with Kylie Jenner, which aims to attract a younger, fashion-focused crowd.
EssilorLuxottica Partnership Powers Meta's New Designs
Even though Meta designed these glasses itself, its partner EssilorLuxottica SA (ESLOY) will handle the production. The packaging and the inside of the temple arms will feature logos from both companies. Meta executives explained that this new strategy was necessary to meet consumer demand for a more accessible price point. Alex Himel, who runs Meta's wearables unit, noted that they struggled to find existing brands that fit, so they decided to add Meta as a lower-cost option beneath their Ray-Ban and Oakley lines.
Meta Adds New Hardware Features and Considers Camera-Free Options
The hardware and software inside these new models largely mirror Meta's existing screen-less glasses. However, a notable new feature allows users to manually adjust the width between nose pads to three different levels. These models also come with the new Muse Spark artificial intelligence model pre-installed.
Looking forward, Meta mentioned it is considering a future model without a camera. This device would focus on an audio-only experience for phone calls, media playback, and AI interaction. Such a change could allow for an even lower price point and new style options because the device would require fewer components.
Meta Fights Competition in the Growing Eyewear Market
Meta's decision to design these glasses in-house arrives just before Apple (AAPL) plans to debut its own smart glasses next year. Meta's management views the iPhone maker as a strong competitor. Himel acknowledged that Apple is good at design and hardware but criticized the company for closing off its iOS operating system. He argued that this makes it difficult to build the same quality of consumer experience when Meta's glasses are paired with an iPhone. Meta's next goal is to expand into more styles and eventually bring augmented reality glasses to the market.
Is Meta a Good Stock to Buy Now?
Turning to the Street, Meta Platforms has a Strong Buy consensus. Of the 37 analysts' ratings, 31 rate the stock a Buy, while six rate it a Hold. The average 12-month META stock price target is $815.82, implying about 44.7% upside from the current price.