U.S. tech giant Meta’s (META) stock traded higher on Friday morning despite reports that AI startup OpenAI has engaged more than 200 workers to develop several AI-powered devices, including smart glasses.
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The startup could launch its own smart glasses by 2028, according to a report by The Information that cited insider sources. Other devices, such as a smart speaker and a smart lamp, could come earlier, with the speaker expected to begin shipping in February next year.
Meta Dominates Smart Glasses Market
Meta is the largest player in the smart glasses industry. According to Counterpoint Research, the American tech giant accounted for more than 70% of the global smart glasses market as of the first half of 2025.
The market analytics firm also reports that 110% year-over-year growth in smart glasses sales during the first six months of last year was fueled by demand for Meta’s Ray-Ban smart glasses.
Meta launched the second-generation of the Ray-Ban smart glasses in 2023 in partnership with Franco-Italian eyewear giant EssilorLuxottica. A higher-end $799 model launched in September created huge demand that forced the tech giant to shelve international rollout and prioritize clearing U.S. demand backlog.
How Big Is Meta’s AI Devices Business?
However, Meta’s smart glasses, along with its virtual and augmented reality devices — which are all housed under Meta’s Reality Labs — account for only a small portion of its business, as the image below shows.
In addition, recent media reports suggest that Meta is considering price hikes to make the business more sustainable.
OpenAI Chases Growth Avenues
Meanwhile, the move marks an additional revenue opportunity for OpenAI, which remains unprofitable despite growing its revenue tenfold within three years.
OpenAI’s push beyond its popular ChatGPT into consumer hardware has been in the works for several years. Last May, the company acquired iPhone design pioneer Jony Ive’s startup in a $6.4 billion deal.
Is Meta Stock a Good Stock to Buy Now?
On Wall Street, analysts continue to hold a Strong Buy consensus rating on Meta’s shares based on 39 Buys and four Holds recommended over the past three months.
In addition, the average META price target of $852.42 implies about 30% upside from current trading levels.
