Meta Deepens Smart Glasses Push With Ray-Ban Maker EssilorLuxottica Deal — Update

By Adria Calatayud and Andrea Figueras

Meta Platforms struck a new long-term agreement with Ray-Ban maker EssilorLuxottica, deepening a push into smart eyewear as the tech giant starts to roll out artificial-intelligence features.

The Facebook and Instagram parent already works with European eyewear group EssilorLuxottica to make Ray-Ban smart glasses, and the two companies plan to build on that relationship into the next decade, EssilorLuxottica said Tuesday.

Meta and EssilorLuxottica aim to make glasses a new gateway to a connected world as companies begin to introduce AI tools in gadgets beyond smartphones and computers.

"We have the opportunity to turn glasses into the next major technology platform, and make it fashionable in the process," Meta Chief Executive and founder Mark Zuckerberg said.

The companies recently integrated Meta AI into their smart glasses in the U.S. and Canada, allowing users to take pictures, get information on what they look at, access news or ask for recommendations.

The agreement indicates both companies' commitment to the integration of AI features, underscoring the potential of the smart glasses segment, Equita Sim analyst Domenico Ghilotti said in a note to clients.

EssilorLuxottica Chief Executive Francesco Milleri said the work his company has done with Meta, which began in 2019, is still in its early stages.

Financial details of the agreement weren't disclosed.

In July, The Wall Street Journal reported that Meta was in talks to buy a stake of about 5% in EssilorLuxottica after sales of the latest Ray-Ban smart glasses, called Ray-Ban Meta, exceeded expectations.

The agreement could still open the door to a possible acquisition by Meta of a stake in EssilorLuxottica, though there is no reference to this in Tuesday's announcement, Equita's Ghilotti said.

Milleri said in an earnings call in July that Google and other big technology companies had shown interest in exploring partnerships with EssilorLuxottica.

Write to Adria Calatayud at adria.calatayud@wsj.com

(END) Dow Jones Newswires

September 17, 2024 05:58 ET (09:58 GMT)

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