image credit:-LG
Mark Zuckerberg, the chief executive of Meta Platforms Inc., is scheduled to meet with LG Electronics Inc. CEO Cho Joo-wan in Seoul around February 28 to discuss the joint development and launch of an extended reality (XR) headset, according to industry sources. The meeting marks Zuckerberg’s first visit to South Korea in 10 years and is focused on discussions with LG regarding XR headsets. The two companies are expected to officially announce their partnership for the joint development of the device.
The planned XR headset is set to be released in the first half of next year, aiming to outperform Apple Inc.’s latest mixed reality (MR) headset, Vision Pro, in terms of performance. LG and Meta will leverage their respective hardware technology and expertise in artificial intelligence (AI) for the upcoming product.
The XR sector encompasses virtual reality (VR), augmented reality (AR), and mixed reality (MR), offering users the ability to experience three-dimensional virtual worlds for virtual meetings and live translated captions of foreign languages.
During the meeting, Zuckerberg and Cho will discuss the application of LG’s smart device operating system (OS) to the XR headset, as well as the use of Meta’s AI services for LG’s home appliances. LG has requested Meta to use its OS for the XR headset, which is expected to generate more than 1 trillion won ($750.5 million) in revenue from advertisement fees from app developers. The OS offers games, language education, and news content, and if embedded with Meta’s XR headset, it is expected to significantly boost LG’s sales.
The two companies will also explore the use of on-device AI for the headset, which allows smart devices to collect and analyze data without the need for a remote cloud server, thus improving the device’s performance.
LG aims to secure big data from global consumers in their teens and 20s through the partnership with Meta, as these demographics are forecast to be the major users of the XR headset. This big data will be advantageous for LG to develop customized products and strengthen its cutting-edge AI tech. LG Group affiliates, such as LG Display Co. and LG Innotek Co., are expected to supply their products to the XR headset. LG Display is developing micro-organic light-emitting diode (OLED) technology, while LG Innotek, a camera module maker, is advancing its premium lens manufacturing.
The global XR device market is forecast to grow to $35.7 billion by 2026, with the XR headset sector dominated by three players: Apple, the Meta-LG alliance, and the Samsung-Google-Qualcomm alliances. As the competition in the XR headset market intensifies, each company is positioning itself to stake its reputation and compete in a market reminiscent of the early smartphone industry.
