The AI glasses track is heating up with fierce competition, as listed companies chase the trend with "GPT on the nose bridge"

With the rapid development of large model technology and the impressive sales performance of blockbuster products like Meta Ray-Ban smart glasses, a new wave of AI glasses is set to surge in 2024.

As a new blue ocean in the smart wearable market, AI glasses have attracted major tech giants such as Apple, Samsung, and Amazon to invest. Domestically, manufacturers like Huawei and Meizu are also actively deploying AI glasses. Recently, Baidu launched the native AI glasses—Xiaodu AI Glasses—equipped with a Chinese large model, adding fuel to this hot track. The AI glasses boom has energized the industry chain, with listed companies eager to seize the opportunity at this critical moment.

In the capital market, the concept of AI glasses has garnered significant attention. Since late September, AI glasses concept stocks have risen for three consecutive months. Recently, these stocks have been active, with several hitting daily limit-ups, including Zhuoyi Technology.

Despite the enthusiasm, the industry is still in the pre-explosion stage. Western Securities’ research report indicates that 2025 is expected to be the year of AI glasses’ breakout. According to WellsennXR data and forecasts, starting in 2025, AI smart glasses will rapidly penetrate traditional eyewear sales, which remain stable, and by 2035, sales could reach 1.4 billion pairs.

New product launches from various manufacturers mark the beginning of the “Battle of a Hundred Glasses”

The earliest AI glasses date back to 2012 when Google launched Google Glass. However, due to underwhelming market performance, Google suspended sales of the consumer version in 2015. Afterward, Meta and Ray-Ban collaborated in September 2021 to release the first-generation Ray-Ban Stories, which had sold about 300,000 units by February 2023.

In September 2023, Meta and Ray-Ban launched the second-generation Meta Ray-Ban, weighing less than 50g and starting at $299. The product quickly became a hit, especially after adding AI features in April 2024, leading to a sharp increase in sales. According to IDC, in Q4 2023 and Q1 2024, Meta Ray-Ban shipped 360,000 and 100,000 units respectively; by Q2 2024, shipments exceeded 1 million units.

The popularity of Meta Ray-Ban has ignited market enthusiasm for AI glasses, prompting domestic manufacturers to follow suit.

In May this year, Huawei held its summer full-scenario new product launch, unveiling the Huawei Smart Glasses 2 square sunglasses priced at 2,299 yuan. The device runs on HarmonyOS 4 and is integrated with Huawei’s Pangu AI large model. In August, Fengchao Technology released the Jiehuan AI audio glasses. In September, Meizu launched the StarV Air2 AI+AR smart glasses, featuring a stylish design and AI system capable of real-time translation, voice recognition, and smart assistant functions.

Since November, domestic companies have been actively announcing AI glasses-related developments, indicating fierce competition.

First, Baidu announced at the 2024 Baidu World Conference its native AI glasses—Xiaodu AI Glasses—equipped with a Chinese large model, supporting first-person shooting, walk-and-ask, object recognition, audiovisual translation, and smart memo functions, with a planned release in the first half of 2025.

Subsequently, Recar Technology announced the Looktech AI smart glasses on November 16; on November 18, Rokid released the AI+AR glasses RokidGlasses, integrating Alibaba’s Tongyi Qianwen large model; on November 20, Shanjie Technology announced a multi-million RMB Series A funding round and plans to launch the first mass-produced AI shooting glasses in China on December 19 in collaboration with LOHO and iFlytek.

Notably, according to Wellsenn Information, Samsung Electronics also finalized an AI smart glasses project plan in early November, featuring Google Gemini large model, with a planned release in Q3 2025.

The AI glasses concept heats up, with industry chain listed companies racing to seize the opportunity

Major smartphone and internet giants entering the AI glasses track have pushed the industry’s enthusiasm to new heights. Industry chain listed companies are also eager to act, aiming to capture the market at this critical juncture.

Looking at the composition of AI glasses, the display lenses are undoubtedly key components, involving optics, displays, and chips. Listed companies like Crystal-Optech and Sunny Optical Technology can supply critical optical parts such as lenses and waveguides; companies like Hengxuan Technology and Rockchip provide SoC chips for computing and processing.

Leyard has stated on investor platforms that its optical motion capture technology can be used for positioning and 4D gesture tracking in AI glasses, with current products supplied to domestic and international AR/VR headset manufacturers.

In sensors, Well Data revealed that its image sensors excel in small size and low power consumption, making them highly suitable for AR, VR, and AI glasses. Additionally, its LCOS products, known for high resolution, compact form, low power, and low cost, will support emerging markets like AR and VR, including AI glasses, in terms of economic adaptability and feasibility.

Gaoer, Lixun Precision, and Huaxin Technology, with strong assembly capabilities, are key manufacturers of smart glasses.

Among traditional eyewear brands, Dr. Optics began exploring the smart glasses sector in 2022, establishing partnerships with industry AI glasses brands like LeNiao Innovation, Rokid, and Meizu, providing lens fitting services and sales channels. In August, Dr. Optics and LeNiao Innovation jointly established a joint venture, focusing on R&D, sales, marketing, and service of next-generation AI glasses, with the first model expected by late 2024.

Recently, several listed companies have disclosed their latest plans in AI glasses.

Jingwang Electronics stated that its HDI/Anylayer, flexible and rigid-flex boards, and similar substrates can be used in AI glasses. The company is closely monitoring the trend of terminal intelligence and actively exploring related solutions to prepare for future product expansion.

Huanxu Electronics noted that AI glasses require lightweight, compact, and uniquely shaped designs, which SiP module technology can meet, with products already used in similar customer applications. Its wireless communication SiP modules are also suitable for AI glasses, with mass production planned for 2025.

Tianjian Co. recently announced it has open-source audio and spatial audio technologies, with the capacity to produce various audio-visual products like headphones and smart glasses. The company continues to focus on AI technology development and applications, planning related business expansion based on market demand and technological needs. Due to confidentiality, it cannot disclose details about OEM or potential clients for AI glasses.

“Currently, our company has signed cooperation agreements with several domestic and international eyewear brands in the AI glasses category. Our products are still in prototype and optimization stages, not yet mass-produced. The market is in its early development phase, and consumer habits need cultivation, so market expansion still faces uncertainties,” Yidao Information said.

On November 25, Yingqu Technology stated on investor platforms that it is actively conducting pre-research on AI glasses. On November 26, Xingchen Technology announced it has invested R&D resources into AI glasses chips and is engaging with some clients, planning to launch products in 2025. Its low-power technology, industry-leading ISP visual effects, and advanced SOC processes, developed in security and outdoor scenarios without network or power, will be applied to AI glasses.

With more companies entering the scene, the AI glasses concept stocks have repeatedly surged in the secondary market this year.

In mid-August, AI glasses concept stocks experienced a surge in limit-ups, with several stocks hitting daily limits. Dr. Optics saw four consecutive “20CM” limit-ups from August 13 to 16, with a total increase of over 107% in four days; on August 16, Yashiguang Electronics hit four consecutive limit-ups. Since late September, the stocks have risen for three months straight, with 65 of 68 AI glasses concept stocks on Eastmoney showing gains.

Recently, the stocks continued to rally, with Zhuoyi Technology hitting a daily limit-up on November 28, closing up 5.28%; Zhongke Laxun rose over 10%, Mingyue Lenses up over 6%, and others like Dr. Optics, Yidao Information, Juxin Technology, and Hengxuan Technology also gained.

2025 is expected to be the year of AI glasses’ explosive growth

Despite the intense preparations by various manufacturers, the industry is still in the early stages of development. Industry experts generally believe that 2025 will be the year of AI glasses’ breakout.

Zhongyin Securities’ research report suggests that recent entrants into AI glasses have strong hardware and software capabilities and benefit from the smartphone ecosystem, which will accelerate industry trends: improving application scenarios and hardware design, and expanding interaction with mature application ecosystems (such as app integration), enhancing practicality. AI glasses are poised to become a new type of hardware terminal from “0 to 1,” with 2025 likely marking the release of major new products.

“Although AI glasses are still in early development, industry enthusiasm is rising, and the potential is significant,” the report states.

Western Securities’ research indicates that tech giants’ active deployment may make 2025 the year of AI glasses’ explosion. With multimodal large models enabling richer interaction, the shift from “hardware serving users” to “large models serving users” will occur. These models can understand voice, images, and other inputs, enabling more efficient and streamlined human-computer interaction, thus increasing user acceptance.

From the industry chain perspective, Everbright Securities notes that since AI smart glasses currently do not require displays, removing upstream AR optical display and optical components, the upstream industry chain is mature and well-developed domestically. This could lead to a breakthrough moment for AI glasses.

According to Wellsenn XR data and forecasts, global eyewear sales are about 1.56 billion pairs in 2023; projected to reach around 2 billion pairs in ten years. Starting in 2025, AI smart glasses will rapidly penetrate traditional eyewear sales, which remain stable. By 2029, annual sales could reach 55 million pairs; by 2035, sales may hit 1.4 billion pairs.

However, industry challenges remain. Zhongguancun Online’s analyst Yin Hang points out that as AI applications deepen, chip performance requirements increase, and the addition of real-time and cloud AI computing pose new challenges for battery life. While comfort has improved compared to headsets, there is still room for further enhancement.

Yin Hang believes that the long-term development of AI glasses depends on technological progress and innovation, with large models playing a crucial role. These models are the underlying force driving the development of niche AI glasses segments. Their diversification and hardware optimization directly impact the application ecosystem and user experience. Future AI glasses will need powerful local computing capabilities and compatibility with multiple devices, supporting diverse development paths.