Alibaba-backed augmented reality glasses company, Xreal, announced on Monday that it secured $60 million in new funding, propelling its valuation to over $1 billion. This milestone designates the startup as the first unicorn in the AR glasses industry, although the participants in the latest funding round were not disclosed.
Augmented reality (AR) technology overlays digital images onto the real world. Apple’s upcoming Vision Pro virtual reality headset, slated for release in the U.S. on Feb. 2, also incorporates “spatial computing” technology to enable users to interact with the real world.
Xreal’s latest AR glasses model, the Air 2 Ultra, is scheduled to commence shipping in March and is available for pre-order at $699. This price is a significant contrast to Apple’s Vision Pro, which comes with a price tag of around $3,500.
As of Jan. 8, Xreal reported shipping 350,000 AR glasses since its launch in 2017, showing substantial growth from 250,000 units in October and 150,000 units in May. The company intends to allocate the newly acquired funds towards research and development, as well as expanding its manufacturing facilities. With the latest funding, Xreal’s total backing from investors has now reached $300 million.