The XR Weekly Update (February 4, 2025): Meta Achieves Record Q4 2024, Apple Continues AR Glasses Development, and More!

I’m currently visiting China, and let me tell you, it’s been quite an adventure! I finally got to witness an incredible street performance with iconic dragon and tiger figures in celebration of the new year. Though I’m having a blast, indulging in all the delicious food here makes me feel like I might just burst — which I think would be the best way to go! Happy Year of the Snake to you all! Now, let’s dive into the latest XR stories from this past week! (Update: I apologize for the delay in getting this newsletter out. I got unexpectedly sick for a couple of days after drafting the first half. Thankfully, I’m up and about now, and reading through my previously enthusiastic intro gave me a much-needed giggle. Thanks for your patience, and I hope you still think fondly of me!)

Top News of the Week

Meta had an impressive Q4 2024

Meta’s latest financial disclosure is certainly something to be excited about. The headline is that Reality Labs knocked it out of the park, hitting a staggering $1.08 billion in revenue in Q4 2024 — the highest ever for this division. The holiday season typically boosts Meta’s revenues, as Quests make for a fantastic gift. Indicators were promising, with the Meta Quest companion app soaring to the top of the iOS store, Batman Arkham Shadow attracting a million players, and Quest topping Amazon’s console sales charts for 2024. But with MR/VR in a bit of a plateau waiting for innovation, we didn’t see it becoming Reality Labs’ best quarter yet. A surprising ace up their sleeve was the 1 million Ray-Ban Meta glasses sold, bringing in over $300M. The division between Meta and EssilorLuxottica profits hasn’t been clear, but even a modest 30% cut for Meta is significant — roughly $25M per quarter when adjusted. Seeing these figures confirms two things for me: MR/VR remains somewhat stagnant, yet alive, awaiting breakthrough advances, while the smartglasses market, though hyped, shows great promise. Zuckerberg is quite optimistic about Ray-Ban Meta’s future, predicting potentially substantial sales for the next iteration. He’s also bullish about Horizon Worlds growing in user appeal, despite frustrations from developers on the Horizon Store platform who feel sidelined. However, challenges remain. Meta’s staggering $6.05 billion spending on Reality Labs in Q4 aligns with their push for pioneering AR glasses and selling hardware below cost. According to Road To VR, Meta has outspent earnings by a wide margin, hinting at a long-term strategic investment outlook, with profitability not expected until the 2030s.

Other Relevant News

Apple Still Seeking Optimal Strategy for AR Glasses

Apple’s journey with AR glasses continues, but according to trusted source Marc Gurman, they’re still ironing out their strategy. Recently, Apple scrapped plans for AR glasses tethered to iPhones after feedback showed these drained phone batteries excessively. A pivot to Macs didn’t fare any better, leading to a complete withdrawal. Yet, Apple isn’t giving up. At a clandestine locale in Santa Clara, a team is focused on developing microLED displays tailored for future AR glasses, potentially not launching until 2028 or later. Gurman mentions a lack of cohesion within Apple’s Vision Products Group, affecting team morale. Innovating in tech is notoriously tough — I’ve been there, but it’s ultimately rewarding.

Happy First Anniversary, Apple Vision Pro!

Recently, my social media was buzzing with Apple fans celebrating the Vision Pro’s one-year mark. It’s a cheerful milestone, so let me join in: Happy Birthday, Apple Vision Pro! Thanks for sparking fresh competition in the XR space and prodding others into action!

News Worth a Mention

VRChat Rolls Out Age Verification

In a move toward safer virtual environments, VRChat now offers age verification for VRC+ subscribers through Persona. Users who opt-in can verify their age using documentation or simply a selfie, granting them access to adult-only worlds and an age badge. VRChat is a pioneer here, and reactions will be intriguing — will people trade personal data privacy for a kid-free experience? Only time can tell.

XReal One vs. Apple Vision Pro?

I generally hesitate to compare different gadgets, but Scott Stein’s review of the XReal One glasses got me thinking. They offer a solid alternative for virtual display needs at a much lower cost than the $3,500 Vision Pro. While Vision Pro boasts a broader feature set, XReal’s focused approach could be appealing. Something to ponder…

Viture Unveils Pro XR Glasses

Viture presents its latest Pro XR Glasses, sporting 1920×1080 micro OLED displays, 46° FOV, 49 PPD, and a 120Hz refresh rate for $459, with a limited-time $50 discount.

Logitech Pen: A Tracker for Meta Quest?

Without a Vive Tracker equivalent for Meta Quest, developers have typically relied on Quest controllers for object tracking in XR. Now, the Logitech MX Ink Pen offers a fresh option. Emerging videos highlight its use as an object tracker alongside Quest controllers. I’m curious to see what new experiences developers create with it.

Credits to Rob Cole and A.K. for the video links.

Haptikos to Shake Up XR Haptics Scene

Haptikos, a startup with roots in Sunnyvale and Athens, is stepping out of the shadows with a prototype hand exoskeleton as part of their Haptik OS ecosystem. It’s designed to offer detailed finger-tracking and realistic haptic feedback. While the current prototype is priced at $2,500, a market-ready version could drop to $1,000 in 2026, marking a competitive entry into the world of XR gloves.

Meta Cracks Down on Leakers

In a bid to curb leaks, Meta is enacting stern measures against staff who leak information, with Zuckerberg noting the strain leaks place on transparency. Ironically, this directive was leaked from an internal meeting. The irony sure is thick here.

Quest Passthrough Teams with ChatGPT

A developer is integrating the Meta Quest 3’s camera passthrough with OpenAI’s GPT-4, promising a powerful merging of AI and XR. I’m on pins and needles to see how this innovation unfolds.

More Bad News for VR

It’s no secret the VR ecosystem is in a rough patch, and this week brought further evidence. Orbus VR, dating back to 2017, is closing, Fast Travel Games is laying off 30 employees due to underwhelming sales expectations, and Vertigo Games is divesting Springboard VR to optimize operations.

Content Updates

COLD VR’s release is postponed to February 11.
Aces of Thunder will land on PSVR 2 and PC VR in 2025.
A special adaptation, Demeo x Dungeons & Dragons: Battlemarked, is arriving, independent from the original Demeo.
Cave Crave looks like a claustrophobic climbing sim, priced at $13 on Horizon Store.
Daisy Ridley stars in Trailblazer: The Untold Story of Mrs. Benz, out on Quest in March.
Beyond Blue: After the Storm now lets you explore the ocean in VR on Meta Store for $15.
Darknet has been revamped for Quest as Darknet: Remastered, priced at $9.99 on Horizon Store.
Craftrium enables spatial aquarium creation with Apple Vision Pro.
Synth Riders celebrates Super Bowl LIX with an exclusive Apple Vision Pro event featuring Kendrick Lamar.
Farming Simulator VR brings a fresh farming experience to Horizon Store, launching February 28.
Owlchemy Labs slashed prices for Vacation Simulator and Cosmonious High, now at $19.99 across platforms.
Ahoy! offers a touching story experience on Apple Vision Pro.
Upload VR’s XR News Round-Up compiles the latest in minor XR developments.

Content Reviews

Path of Fury: Episode I — Tetsuo’s Tower looks promising as per Road To VR; it blends a rail shooter with a workout in a retro 80s style. Meanwhile, StageTime VR, though in its early stages, offers a multiplayer karaoke experience with thoughtfully implemented spatial audio — a sign of bright things to come.

Other News

VR Games Showcase returns in March, boasting its “largest line-up” yet.
Mindshow has unveiled a virtual animation tool aimed at enterprises.
Reports detailing the XR landscape in Europe have been published by XR4Europe.
XR Bootcamp offers a direct comparison of available smartglasses — useful for anyone evaluating their options.
The latest Quest software version, v74, is criticized for further complicating the UI.
While Samsung trademarks “Beyond”, its use on a headset seems improbably coincidental.
Astronauts share how HTC headsets improve well-being in the solitude of space.

Partner and Friend News

Google Blocks is resurrected as Open Blocks! The team at Icosa Foundation, noted for reviving TiltBrush as Open Brush, now brings us Open Blocks, an iteration of Google’s low-poly tool now open-sourced and free forever. Accompanying this, Icosa is developing Icosa Gallery, set to be a spiritual successor to Google Poly for sharing 3D creations. Huge kudos to the Icosa team!

Some XR Fun

Cave sim, or something entirely different? You be the judge! Funny link: Link to simulator rendition

Donate for Good

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(Header image by Meta)

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