A woman stands in front of the logo of Snap Inc. on the floor of the New York Stock Exchange while waiting for Snap Inc. to post their IPO, in New York City, NY, U.S. March 2, 2017. REUTERS
April 10 (Reuters) – Specs, the Snap smart glasses unit formed early this year, will use Qualcomm chips for its upcoming devices under a multi-year deal announced on Friday, marking its first major move.
The Specs smart glasses launching later this year will use the Snapdragon XR processor platform, the two companies said on Friday. Financial details of the deal were not disclosed.
The deal builds on a years-long tie-up that has seen Qualcomm chips power multiple previous generations of Snap’s developer-focused smart glasses called Spectacles.
Snap established its Specs unit in January to compete with Meta whose Ray-Ban AI smart glasses developed with EssilorLuxottica have become one of the few breakthrough successes in the race for AI-powered gadgets.
The Specs unit aims to provide more independence to the team that is working on smart glasses and also opens room for external investment, the Snapchat-parent has said.
Friday’s announcement comes after activist investor Irenic Capital Management, which disclosed an economic interest of about 2.5% in Snap’s Class A shares, last week pushed the company to either spin off or shutter its Specs unit and cut costs.
Reporting by Jaspreet Singh in Bengaluru; Editing by Maju Samuel
