LG Pauses Partnership with Meta, Explores New Opportunities
LG Electronics has reportedly decided to pause its collaboration with Meta in developing an extended reality (XR) device that would rival Apple’s Vision Pro headset. While some Korean news outlets claim that the partnership has completely broken down due to a lack of synergy, LG denies terminating the deal. According to a statement from LG, the company continues its XR partnership with Meta but is controlling the pace of the project.
The joint venture aimed to combine Meta’s Horizon Worlds mixed reality platform with LG’s TV business capabilities, with products expected to be released next year. There were also discussions about integrating on-device AI using Meta’s large language models. However, reports suggest that the collaboration is now targeting a 2027 release date.
Adding to the confusion, several publications state that LG is now pursuing a new XR headset partnership with Amazon. This move would leverage Amazon Prime’s vast library of streaming content and its subscriber base of 200 million.
This potential setback for Meta comes at a time when the company is struggling to prevent losses in its AR and VR businesses. Meta’s Reality Labs reportedly burned through a billion dollars every month since June 2022. Despite this, the company remains committed to product development efforts and the expansion of its ecosystem.
The wider VR/AR product industry is also facing challenges, with falling consumer interest. Sony has paused production of its PSVR 2 headset due to unsold inventory, while the adoption of Apple’s Vision Pro headset has been slower than anticipated, leading to low sales in some Apple stores.
As the situation unfolds, LG and Meta are expected to provide further clarification on the future of their XR device project. Both companies are looking for ways to capitalize on the growing market for extended reality and overcome the challenges facing the VR/AR industry.
– One of the key challenges facing the VR/AR industry is falling consumer interest, which has led to low sales for some products such as Sony’s PSVR 2 headset and slower than anticipated adoption of Apple’s Vision Pro headset.
– Meta’s Reality Labs has reportedly been burning through a billion dollars every month since June 2022, highlighting the financial struggles the company is facing in its AR and VR businesses.
– Despite challenges, Meta remains committed to product development efforts and expanding its ecosystem.
– LG’s collaboration with Meta aimed to develop an extended reality (XR) device that would rival Apple’s Vision Pro headset, combining Meta’s Horizon Worlds mixed reality platform with LG’s TV business capabilities.
– LG denies terminating the partnership with Meta but acknowledges controlling the pace of the project.
– Reports suggest that the collaboration is now targeting a 2027 release date, which represents a significant delay from the original plans of releasing products next year.
– In addition to the potential partnership with Meta, several publications state that LG is exploring a new XR headset partnership with Amazon, which would leverage Amazon Prime’s vast library of streaming content and its large subscriber base.
– The future of the XR device project between LG and Meta is currently unclear, and both companies are expected to provide further clarification.
– The advantages of the LG-Meta partnership include leveraging Meta’s Horizon Worlds mixed reality platform and LG’s TV business capabilities, potentially resulting in innovative XR products.
– The disadvantages or challenges associated with the partnership include the reported lack of synergy and potential delays in product release.
– The future of the XR device market and the overall VR/AR industry’s ability to overcome challenges and capitalize on the growing market for extended reality are important questions that remain to be answered.
Suggested related link: AR and VR market growth in 2022
