The head of Snapchat operator Snap, Evan Spiegel, presents the new generation of Spectacles.
Andrej Sokolow | Picture Alliance | Getty Images
Snap on Wednesday said its unit working on the development of augmented reality glasses is now housed under a wholly owned subsidiary named Specs Inc.
The company said the subsidiary will provide “greater operational focus and alignment” as Snap gears up to launch Specs AR glasses this year. The subsidiary will also help the company gain new partners and provide “capital flexibility” that includes the “potential for minority investment,” the company said in a blog.
Snap didn’t say how many employees will work at the subsidiary, but the company said Specs is currently hiring for nearly 100 roles.
The company told analysts in November that it was planning to create this type of subsidiary.
In June, Snap said it planned to release the sixth generation of its glasses in 2026, but the company has not said when exactly they will go on sale or for how much. The upcoming glasses will be smaller, lighter than older models and aimed at consumers, Snap has said.
The subsidiary comes as other the companies like Meta and Alphabet also invest in glasses with artificial intelligence capabilities.
Meta and eyewear giant EssilorLuxottica launched the latest version of their glasses, which feature a small display and cost $799, in September, and Google has said it plans to release glasses in partnership with Warby Parker sometime this year.
Last week, Meta laid off more than 1,000 employees working on virtual reality technology in the company’s Reality Labs unit as it shifts focus to AI and wearables. The layoffs sparked fears among developers of a VR winter, CNBC reported.