Apple Inc. is accelerating development of three new wearable devices as part of a shift toward artificial intelligence-powered hardware, a category also being pursued by OpenAI and Meta Platforms Inc.
The company is ramping up work on smart glasses, a pendant that can be pinned to a shirt or worn as a necklace, and AirPods with expanded AI capabilities, according to people with knowledge of the plans. All three devices are being built around the Siri digital assistant, which will rely on visual context to carry out actions.
Each of the products, which will be linked to Apple's iPhone, depends on a camera system with varying capabilities, said the people, who asked not to be identified because the plans haven't been announced. A spokesperson for Cupertino, California-based Apple declined to comment.
Apple shares briefly reached a session high on the news, climbing as much as 2.7% to $262.74. Meta fell less than 1% to $635.83 as of 1:02 p.m. in New York. American depositary receipts of EssilorLuxottica SA, Meta's glasses partner, declined more than 7%.
The AirPods and pendant are envisioned as simpler offerings, equipped with lower-resolution cameras designed to help the AI work rather than for taking photos or videos. The glasses, meanwhile, will be more upscale and feature-rich.
Apple CEO Tim Cook has hinted that Apple is working on AI-enabled devices.
In an all-hands meeting with employees earlier this month, Chief Executive Officer Tim Cook hinted that the company would be pushing hard into AI devices, saying Apple is working on new "categories of products" that are enabled by artificial intelligence. "We're extremely excited about that."
Cook added that the company was investing in new technology. "The world is changing fast," he said.
While iPhone sales remain robust, Apple is playing catch-up in AI. Revamping Siri has been a key challenge: Upgrades to the voice assistant have been plagued by development snags, delaying their rollout.
The company is preparing a version of the assistant for iOS 27, due later this year, that will feature a chatbot-like interface.
Apple will rely on underlying models co-developed with Alphabet Inc.'s Google.
In the longer run, AI is expected to change the way consumers use phones - with more activities shifting to peripherals. Meta's glasses have already become a hit, and OpenAI is developing a series of devices, including wearables, with the help of ex-Apple design chief Jony Ive and other former Apple executives.
Apple has been trying to find a winning formula in this area. Its last major push into a new category, the pricey Vision Pro headset, didn't resonate with consumers. The company is looking for a breakthrough with its accelerated push into wearable devices, aiming to keep users locked into the Apple ecosystem.
The smart glasses are planned to be positioned as an advanced offering in the company's AI hardware lineup, intended to compete with Meta's camera-equipped eyewear. They would include a high-resolution camera capable of capturing photos and video.
Apple has made significant progress in recent months on its glasses, code-named N50, and has recently distributed a broader set of prototypes within its hardware engineering division. The company is targeting the start of production as early as December, ahead of a public release in 2027.
Like most of Meta's current offerings, the glasses won't include a display. Instead, the interface will rely on speakers, microphones and cameras - letting users make phone calls, access Siri, take actions based on surroundings, play music and take photos. Apple aims to differentiate the product in two key areas: build quality and camera technology.
Employees say the company initially developed the hardware by embedding electronics and cameras into off-the-shelf frames from a variety of popular brands. Apple at one point even discussed relying on partnerships to launch the product, following a broader industry trend. Meta works with EssilorLuxottica, while Google has teamed up with Warby Parker Inc.
More recently, however, Apple decided to develop its own frames in-house in a variety of sizes and colors.
Early prototypes of the glasses connect via a cable to a standalone battery pack and an iPhone, but newer versions have the components embedded in the frame. The design uses high-end materials, including acrylic elements intended to give the glasses a premium feel. Apple is already discussing launching the device in additional styles over time.
The glasses will include two camera lenses: one for high-resolution imagery and another dedicated to computer vision - a technology similar to what's used in the Vision Pro. The second sensor is designed to give the device environmental context, helping it more accurately interpret surroundings and measure distance between objects.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
