Domestic AR glasses manufacturer XREAL files for IPO in Hong Kong: burned through 2.2 billion over ten years, only 64 million left in the account

GateUser-bd883c58 · 2026-04-07T07:37:48+00:00

Ask AI · How Will Patent Litigation Cases Impact XREAL’s IPO Plans and Market Competitiveness?On April 6, DoNews reported that, according to Ni Shu’s Think Dark Time, XREAL recently filed for an IPO with the Hong Kong Stock Exchange. XREAL (formerly Nreal), officially known as Shenzhen Tairuo Technology Co., Ltd., is a technology company focused on the R&D, design, and manufacturing of consumer-grade augmented reality (AR) glasses.XREAL was founded by Xu Chi in 2017 and is headquartered in Shenzhen. Looking back at the decade since XREAL’s founding, it has been a “fundraising—burning money—re-funding” survival story. From its $3 million angel round in 2017 to its $67.76 million Series D in January 2026, 12 rounds of financing kept coming in—only to be consumed at an astonishing speed.When XREAL submitted its prospectus, the capital market saw a decade-long story of burning through $2.2 billion, leaving only $64 million on the books, with a cumulative loss of more than three years.

GateUser-bd883c58

2026-04-07 07:37:48

Ask AI · How would the patent lawsuit impact XREAL’s IPO plans and its market competitiveness?

According to a report from Ni Shu’s Thoughts on April 6, XREAL submitted an IPO filing to the Hong Kong Stock Exchange. XREAL (formerly Nreal), whose full name is Shenzhen Tairuo Technology Co., Ltd., is a technology company focused on the R&D, design, and manufacturing of consumer-grade augmented reality (AR) glasses.

XREAL was founded by Xu Chi in 2017 and is headquartered in Shenzhen. Looking back on the past decade since XREAL’s establishment, it has been a “funding—burning cash—raising funds again” survival story. From a $3 million angel round in 2017 to a $67.76 million Series D round in January 2026, 12 rounds of financing have come one after another, only to be consumed to exhaustion at an astonishing pace.

When XREAL submitted its prospectus, what the capital market saw was a tragedy of burning through 2.2 billion yuan over ten years, leaving only 64 million yuan on the books, with accumulated losses of more than 2 billion yuan over three years.

The prospectus shows that among the company’s 361 employees, there are 188 R&D personnel, accounting for as much as 51.6%. In 2023-2025, R&D spending was 216 million, 204 million, and 183 million respectively; over three years, it totaled more than 600 million, representing more than 40% of total revenue.

However, the company’s technical core—optical waveguides, Micro-OLED solutions—and its alignment with Lei Bird and Rokid have led to a large number of patents, but their quality is questionable. In February 2026, it also got caught in a core patent lawsuit with Viture, facing risks of a product sales ban and compensation.

In 2023-2025, sales and distribution expenses were 210 million, 140 million, and 130 million respectively, totaling more than 480 million over three years. The company has built a sales network covering 40 countries, and its overseas revenue share rose from 58% to 71%.

However, total units sold in 2023-2025 were only 137,200; 124,900; and 133,700 units. In 2025, XREAL’s revenue was 516 million yuan, and its adjusted net loss was 250 million yuan.

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