Snap Forms New Subsidiary Specs Inc. to Lead Consumer Smart Glasses Push

Snap announced the creation of Specs Inc., a wholly owned subsidiary of the parent company, on Wednesday. The Santa Monica, California-based company said that Specs Inc. will focus on the augmented reality (AR) smart glasses division and grow as a distinct brand. The timing of the development is interesting, given that the parent company is also gearing up to launch the first consumer-focused smart glasses dubbed Specs. The device will incorporate elements of AR and smart glasses into a “wearable computer”, the company has previously stated.

Snap Creates Specs Inc.

In a newsroom post, the social media giant announced and detailed the formation of the new Specs Inc. subsidiary. Snap highlighted that the move allows for greater operational focus and alignment towards developing new AR smart glasses. Specs Inc. will also work on building new partnerships and offer the parent organisation capital flexibility. Additionally, Snap hinted that the new subsidiary could raise minority investment in the future.

The restructuring exercise comes ahead of the company's first major consumer-focused hardware launch. Last year, at the Augmented World Expo in California, Snap CEO Evan Spiegel confirmed that AR smart glasses dubbed Specs will be launched this year. It is expected to arrive in the coming months.

It will not be the first time Snap has manufactured AR glasses, however. The company has a product line called Spectacles, which is exclusive to developers. In 2024, Snap launched the fifth generation of the AR glasses.

Coming to Specs, the company says the wearable will feature see-through lenses that augment 3D digital objects in the real world, and can be controlled via hand gestures and voice commands. The smart glasses are also expected to arrive with integrated artificial intelligence (AI) capabilities and a built-in AI assistant. Snap revealed that the device will be powered by a “first-of-its-kind” Intelligence System, although it did not shed light on its implementation or functionality.

Contrasting it with traditional computers, the tech firm said that the “wearable computer” will be focused on task automation. “It's time for a new computing paradigm that puts people first by bringing us together in the real world, gets work done for us by understanding our surroundings and anticipating our needs, and is designed to reduce our environmental impact by substituting physical goods with digital ones,” added the post.