Meta, EssilorLuxottica said to aim doubling Ray-Ban output

Meta and EssilorLuxottica are in talks to potentially double output of their AI-powered Ray-Ban smart glasses by the end of 2026, according to sources familiar with the discussions.

Meta is reportedly considering increasing annual capacity to at least 20 million units, with discussions for a further boost to 30 million if demand rises.

The companies launched their first Ray-Ban branded smart glasses in 2021 and have reported rising demand, with Meta pausing some international launches due to limited inventory.

EssilorLuxottica, based in France and Italy, manufactures the glasses and operates brands such as Ray-Ban and Oakley.

It has said it aims to reach 10 million units by the end of 2026 and may hit this target earlier.

Meta currently holds an estimated 73% global market share in smart glasses in H1 2025, according to Counterpoint, as rivals including Google, Apple, Xiaomi, and Huawei enter the AI-enabled wearables market.

🔗 Source: Bloomberg

🧠 Food for thought

Implications, context, and why it matters.

Supply growth does not prove demand

Meta aims to make 20–30 million Ray-Ban smart glasses a year 1. The 73% share in H1 2025 2 counts units sent to stores, not confirmed sell-through (actual purchases by end consumers).
H1 2025 units grew 110% year over year 2. Full-year 2025 could reach $2.47 billion 2. No public data on return rates (how many units are sent back) or sustained usage (ongoing usage patterns) keeps stickiness unclear.
Inventory constraints forced international launch pauses 3. That could signal pull or cautious output.
Fast capacity growth can leave unsold stock with retailers if adoption lags forecasts as Google and Apple enter, with Xiaomi or Huawei close behind.

Upstream component winners

The mainboard plus System on a Chip (SoC) make up 56.95% of a $174 Bill of Materials (BOM) 4. Qualcomm’s Snapdragon and BIWIN (flash memory supplier) stand to gain.
Structural suppliers include Changying Precision, with Jabil or Foxconn likely involved 4. Sensor vendors may include Sunny Optical, Bosch, or STMicroelectronics. Per-unit sensor content is $13 across gyroscopes, image sensors, plus ambient light detection 4.
ODM and assembly run about $15 per unit, with Goertek active across Meta’s Extended Reality (XR) lineup 4. Other possible Original Equipment Manufacturers (OEMs) include Huaqin and Luxshare. Longcheer or Emdoor (China-based electronics manufacturers) are possible 4. Tooling (production equipment) and validation (testing) need 6 to 9 months at this scale, so partners should plan now.
Battery suppliers in the BOM include Desay and Sunwoda (Chinese battery makers) 4.