of snap The long-awaited AR glassesSpecs, didn’t have the best start.
company stock Has not been on a healthy trajectory recently. There has been a decline of 30 percent in comparison to last year. Following the launch of the specs, it fell more than 5 percent – falling from $5.86 per share on Tuesday to a low of $4.83 on Wednesday morning. At the time of writing, the stock has still not recovered its pre-announcement levels.
The big concern surrounding Snap’s new smart glasses — which the company has been working on for more than a decade — is the cost: The company says they’ll retail for around $2,200.
It’s worth noting that Snap’s core user demographic — teens — typically aren’t equipped with that kind of pocket change, leading viewers to question the profitability path for the new product.
Snap CEO Evan Spiegel did an interview with CNBC on Tuesday (during which he wore the new glasses) and when questioned about the hefty price tag, he responded: “The most important way to think about the space is as a computer, and so they cost about the same as other high-end computers or high-end laptops.”
Spiegel justified the cost by saying that the specs occupy a unique place in the AR market between glasses like Meta’s Ray-Ban — which cost much less but offer significantly less compute power — and bulky headsets like the Apple Vision Pro, which are powerful but very expensive.
Spiegel said their product is “highly wearable, but also incredibly capable of immersive computing.”
