- Snap unveiled its ambitious Specs augmented reality glasses, leading to a stock decline of almost 10%.
- Following the launch, Snap's stock sank more than 5%, dropping from $5.86 a share on Tuesday to a low of $4.83 on Wednesday morning.
- Evan Spiegel defended the Specs' price of $2,195, stating it is comparable to high-end computers.
- Social media reactions to the Specs were mixed, with some users mocking their proportions while others defended them as a step forward in technology.
- The Specs are priced significantly higher than Meta's competing Ray-Ban Display glasses, which cost $799.
- Shipments of smart glasses without displays increased 167% year over year in the first quarter, indicating a growing market for AR technology.
- Snap's stock has dropped 30% over the past year, reflecting ongoing challenges for the company.
Snap's ambitious launch of the Specs augmented reality glasses, priced at $2,195, has resulted in a significant stock decline of nearly 10%.138
By Tuesday’s market close, Snap’s stock fell from $5.86 to a low of $4.83.2
The glasses, which are larger than typical eyewear, faced mixed reactions on social media, with some users mocking their size while others defended them as a promising advancement in AR technology.45
“The most important way to think of Specs is as a computer,” said Snap CEO Evan Spiegel, justifying the high price by comparing it to high-end computers and laptops.
He emphasized that Specs occupy a unique space in the AR market, positioned between cheaper options like Meta’s Ray-Bans and bulkier headsets such as the Apple Vision Pro.
Shipments of smart glasses without displays surged 167% year over year, while those with displays grew 86%, according to the International Data Corporation (IDC).7
Despite the initial backlash, some users believe future iterations of Specs will be more appealing.
“Those copycats up north aren’t going to be stealing this one,” Spiegel remarked, highlighting Snap's distinct vision for AR glasses.
However, Snap's stock has dropped 30% over the past year, indicating ongoing challenges for the company in the competitive AR landscape.
“Snap's stock fell almost 10% following the launch of its Specs augmented reality glasses, which received mixed reactions online. Evan Spiegel defended the glasses' high price, comparing them to high-end computers.”
Yahoo Finance
Sources | Alex Heath
