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 shipment volume 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 like Apple, Samsung, and Amazon to invest. Domestically, companies such as Huawei and Meizu are also actively entering the AI glasses space. Recently, Baidu launched the native AI glasses equipped with a Chinese large model—Xiaodu AI Glasses, adding fuel to this hot track. The AI glasses boom is sweeping the industry, and listed companies along the supply chain are eager to seize the opportunity.

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-viral stage. Western Securities’ research report indicates that 2025 is expected to be the year of explosive growth for AI glasses. According to WellsennXR data and forecasts, starting in 2025, AI smart glasses will rapidly penetrate the traditional eyewear market, which maintains steady sales growth. By 2035, sales are projected to reach 1.4 billion pairs.

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

The earliest AI glasses trace back to 2012 when Google launched Google Glass. However, due to underwhelming market performance, Google suspended sales of the consumer version in 2015. Afterwards, 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 unveiled 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 rapid sales growth. According to IDC, Meta Ray-Ban shipments reached 360,000 units in Q4 2023 and 100,000 in Q1 2024; by Q2 2024, total 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 product launch, unveiling the Huawei Smart Glasses 2 with a square design, priced at 2,299 yuan. The device runs HarmonyOS 4 and is integrated with Huawei’s Pangu AI large model. In August, Fengchao Technology launched the Jiehuan AI Audio Glasses. In September, Meizu released the StarV Air2, a stylish AI+AR smart glasses with features like real-time translation, voice recognition, and a smart assistant.

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

First, Baidu announced at the 2024 Baidu World Conference its native AI glasses equipped with a Chinese large model—Xiaodu AI Glasses, capable of first-person shooting, walking-and-asking, object recognition, audiovisual translation, and smart memos, expected to launch in the first half of 2025.

Subsequently, Recar Technology announced the Looktech AI smart glasses on November 16; Rokid released the AI+AR glasses RokidGlasses on November 18, integrating Alibaba’s Tongyi Qianwen large model; on November 20, Shanjie Technology announced a multi-million RMB Series A funding round, planning 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, equipped with Google Gemini large model, with products scheduled for release in Q3 2025.

AI glasses concept heats up, listed companies rush to seize the opportunity

Major smartphone and internet giants are entering the AI glasses arena, pushing the industry’s enthusiasm to new heights. Listed companies along the supply chain are also eager to act.

Looking at the components, the display lens is undoubtedly crucial, involving optics, displays, and chips. Companies like Crystal-Optech and Sunny Optical Technology can supply key optical components such as lenses and waveguides; companies like Hengxuan Technology and Rockchip provide SoC chips for processing and computation.

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 products already 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, fitting well with AR, VR, and AI glasses. Additionally, its LCOS products, known for high resolution, compactness, low power, and low cost, will support emerging markets like AR and VR, including AI glasses, in terms of affordability and feasibility.

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

Among traditional eyewear brands, Dr. Optics began exploring smart glasses in 2022. It has established partnerships with industry AI glasses brands like LeNiao Innovation, Rokid, and Meizu, providing lens fitting and sales channels. In August, Dr. Optics and LeNiao Innovation jointly established a joint venture to develop, sell, market, and service new 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 boards, and similar products 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. Its SiP modules are already used in similar products, and its wireless communication SiP modules are planned for mass production in 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 AI glasses products are still in prototype and optimization stages, not yet mass-produced. The market is in its early development, and consumer habits need cultivation. There are uncertainties in market expansion,” said Yidao Information.

On November 25, Yingqu Technology stated it is actively researching AI glasses-related products. 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, accumulated in security outdoor scenarios without network or power, will be applied to AI glasses.

With multiple companies entering the scene, 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, these stocks have risen for three months straight, with 65 of 68 AI glasses concept stocks on Eastmoney showing gains.

Recently, the rally continues. On November 28, Zhuoyi Technology hit a trading limit during the day, closing up 5.28%; Zhongke Lankun rose over 10%, Mingyue Lenses up over 6%, with others like Dr. Optics, Yidao Information, Juxin Technology, and Hengxuan Technology also climbing.

2025 is expected to be the year of AI glasses explosion

Despite the intense preparations by various manufacturers, the industry is still in the pre-viral stage. Experts generally believe that 2025 will be the year of explosive growth for AI glasses.

According to China Securities Research, companies entering the AI glasses field recently possess strong hardware and software capabilities and benefit from the smartphone ecosystem. Their involvement 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 large,” China Securities notes.

Western Securities believes that with the integration of multimodal large models, the interaction mode of AI glasses will shift from “hardware serving users” to “large models serving users.” Multimodal models can understand voice, images, and other inputs, enabling more efficient and streamlined human-computer interaction, thus increasing user acceptance.

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

Based on Wellsenn XR data and forecasts, global eyewear sales are about 1.56 billion pairs in 2023; projected to reach around 2 billion in 10 years. Starting in 2025, AI smart glasses will rapidly penetrate the traditional eyewear market, which maintains steady growth. By 2029, annual sales could reach 55 million pairs; by 2035, sales may hit 1.4 billion pairs.

However, according to Yin Hang, an analyst at Zhongguancun Online, the development of AI glasses faces significant challenges.

“Technologically, as AI applications deepen, the demand for chip performance increases. Real-time computing and cloud AI add to the power consumption challenge. Comfort-wise, although AI glasses are much more comfortable than headsets, there is still room for improvement.”

Yin Hang believes that the long-term future of AI glasses depends on technological progress and innovation. Large models play a crucial role, as they are the underlying force driving the development of niche AI glasses fields. 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.