00:00Congratulations on the unveil, but we've got some news I want to hit first.
00:03Sure.
00:04You've been getting some financing, we understand.
00:06You're raising money to be able to put out these new glasses at a cheaper price point.
00:09I agree, yes.
00:10It's getting heated up for the whole race, right?
00:12And, you know, it's getting exciting as well for the whole industry to really see glasses can really be the next competing platform.
00:20Paired with AI, you know, I think at some point it can truly replace the software we're using today.
00:25Going back to the financing.
00:26Yeah.
00:26Raised about $100 million.
00:27You're able to disclose what valuation, who's backing you?
00:31So, okay, I would say at this moment it's mainly supply chain partners and some key vendors.
00:37You know, at this moment there's not more information I can share, but definitely later.
00:41But $100 million is accurate?
00:43Yes.
00:44I think there's been an academic debate to be had here.
00:47I've used that phrase a lot, but is glasses the right form factor?
00:52The Razer CEO is actually on the program talking about how headphones might be the better form factor in the AI world.
01:01You know, you have options in the wearables category.
01:04Yep.
01:04Is he right, wrong?
01:07Well, okay.
01:08So, I just met him actually a couple of days ago.
01:10We talk about this one.
01:11Did you have any argument?
01:11We talk a little bit about that, but for me, you know, from my perspective, I do think glasses is the ultimate conform factor.
01:18You know, when we see how we actually involve going from the big screen to your laptop to your cell phone, the screen is getting closer and closer.
01:26And what is even closer than your cell phone?
01:28It's probably going to be this display right in front of your eyes, right?
01:32And also, in my opinion, with a pair, you know, combination of AI, you can actually have an AI assistant seeing your eye, see what you see, feel and hear what you hear 24-7.
01:44If that is actually available, I do believe, you know, there's no other advantage you can compete with the glasses.
01:51Meta's going to set further right and now put the display in.
01:55Worries you?
01:56Doesn't worry you?
01:58No, no.
01:59I think, you know, it's a great competition.
02:01You know, Meta definitely have a lot of advantages.
02:03You know, they have a lot of investment, great talent, and they start really, really early, right?
02:07But still, I think this is a big enough market.
02:10And still, I don't really see the form factor kind of converge.
02:13So this is open race for everybody.
02:15I'm just excited, you know, to be part of that journey.
02:17Well, the people we're waiting for the unveil from is Google.
02:21How are you working alongside Google?
02:23How is your relationship deepening?
02:25How is Project Aura?
02:26Okay, that's a great question.
02:28You know, this week we just, you know, announced that we're deepening the partnership with multi-year extension and also name Xreal being the lead hardware partner with Google on Android XR.
02:37And this is a really great, exciting moment.
02:39I think maybe it's not just one company going to do everything, you know, together.
02:43Maybe it's kind of a combination, the hardware and software collaboration at some point.
02:48And Xreal, we are really good at building optical modules, building chips, you know, and, you know, Google, they're really good at building AI, building operating system.
02:57So I think, you know, this is a win-win situation for us to team up together to kind of polish the end-to-end hardware and software ecosystem experiences together.
03:05So do you think it'll almost be like a cell phone world in that you have the Google Pixel, but you also have Samsung with the Android operating system and a myriad of others using Android?
03:14So is it going to be Google with their own hardware and their own, or you're going to be the hardware partner of choice and then be some others out there as well?
03:21Absolutely.
03:22If you remember early on, actually, Google partner with HTC, you know, at the very beginning to define the whole smartphone industry, part of it, you know, alongside with Apple.
03:31And then they start to rolling out to LG, to Samsung, and then they have their own pixels, right?
03:36So it's going to be an ecosystem play.
03:38We're just, you know, we're just feel lucky.
03:39We got picked by Google so we can work together, being the pioneer, to drive this industry forward.
03:45When?
03:46When Project Aura glasses come to the real world?
03:4926.
03:50It's going to be this year.
03:52What does the rollout look like?
03:53Well, that's something I cannot share at this moment.
03:56But you will go to market.
03:57You'll say they're ready.
03:58This is what they look like.
03:59This is what they cost.
04:01And it will be available?
04:02Of course, you know, when the time is ready, we'll release those kind of information.
04:04There are some other things that you're battling with your latest generation existing X-Real glasses, right?
04:10Absolutely.
04:12Sleeker, lower price.
04:13Price is so important.
04:15But you are going up against a market where we have Vision Pro and other similar products.
04:21And then we question immersion and field of view.
04:23That's right.
04:24What's your response to those questions?
04:26People start to think about, you know, maybe for Apple Vision Pro, it is a great experience.
04:30But the question and challenge is, you know, it is too expensive.
04:34It is too heavy, right?
04:35So how can we come up with something, you know, lighter, more affordable?
04:40But we can deliver like 80% of that kind of experience.
04:43And that's where, you know, X-Real glasses is coming about.
04:46And especially if you look at the latest generation 1S, right?
04:49We further kind of bump up the features.
04:52You know, some of the very unique feature we say is 2D to 3D lifetime conversion.
04:56We're using our own chip to do this AI conversion in the real time.
05:01And it's amazing.
05:02Any kind of content coming with the glasses, whether it's a cell phone, handheld gaming devices, your laptop, it can turn into 3D in the real time.
05:11Let's talk about how you've got the price point down.
05:13Yes.
05:14Is it because you're making your own chip?
05:15Is it a supply chain navigation?
05:17Or are you just taking a hit from a profit margin perspective?
05:19No, we just, you know, we spend a lot of effort optimizing this whole supply chain.
05:23You know, better yield rate, you know, higher volume.
05:27I was kind of going to help to bring the cost down.
05:29Is it coming from China?
05:31Part of that, yes.
05:32And is that a risk, an issue, given the national security concerns here in the United States?
05:35That's a great question.
05:36You know, we do have this kind of global supply chain strategy as well.
05:40It can be China.
05:41It can be in other parts.
05:43It can be even in the U.S. in some day.
05:45Just very, very quickly.
05:46Yes.
05:47With this CES, you've had a lot of foot traffic.
05:49Yes.
05:49Just reflect on that really quick.
05:51Well, you know, people like glasses, and they like to experience.
05:55Actually, even though we've been talking about glasses for so long,
05:58there's still a lot of people, they haven't really tried on any glasses.
06:01So I think this is still a long kind of education process.
Be the first to comment