Snap Spins Off AR Glasses Business as Independent Company Specs Inc.
Snap has decided to spin off its augmented reality glasses division into a wholly-owned independent company named Specs Inc. This new structure aims to separate hardware operations from the main platform to increase investment and strategic partnership opportunities. The move is designed to create a more agile entity to better compete with rivals like Meta.
Snap Reshapes Hardware Strategy: Specs Inc. Established
Snap Inc. is implementing a significant structural reorganization that fundamentally changes the roadmap for its augmented reality (AR) hardware business. The company has decided to spin off its long-developed AR glasses division into a new, wholly-owned independent company. This new entity, named Specs Inc., will separate Snap's hardware operations from its core social media and communication platform business, offering an autonomous management and growth model focused on this area.
The decision stems from Snap's need to operate more aggressively and flexibly in the AR hardware market. Specs Inc., able to operate independently from the parent company's social media-focused revenue model and investor expectations, will be able to more comfortably manage the long-term, capital-intensive R&D and marketing efforts required for AR glasses. This spin-off also opens doors for potential strategic partnerships and private investments.
A New Front in the Battle Against Meta
One of the fundamental motivations behind the establishment of Specs Inc. is to compete more effectively against the massive investments in the AR/VR (virtual reality) space by tech giants like Meta. While Meta is shaping its metaverse vision with smart glasses developed in collaboration with Ray-Ban and its Quest series devices, Snap is focusing on a more specific AR experience and camera-based interaction. The independent structure of Specs Inc. aims to enhance competitiveness by facilitating rapid decision-making, specialized funding, and industry collaborations in this niche area.
The next-generation Specs glasses unveiled at the NRF 2026 (National Retail Federation) expo showcased Snap's ambition in this field. These ultra-lightweight devices, the product of the company's 11-year R&D investment and a development process exceeding $3 billion, offer numerous use cases in the retail sector, from in-store assistance to product experience. Specs Inc. is now positioned to accelerate innovation and market penetration in the enterprise and consumer AR hardware segments, leveraging its focused operational model to challenge established players and define new categories in wearable technology.
