Meta Plans to Launch Internal Testing of AI Pendants Within the Next Year
Taylor Wilson
Meta plans to start internal testing of an AI pendant by spring 2027 while aggressively expanding its AI glasses lineup — betting on software subscriptions to stem Reality Labs' multibillion-dollar losses.
Why is Meta building an AI necklace?
An internal memo by Meta wearables VP Alex Himel, obtained by *The Information*, reveals plans for an AI pendant set for internal testing by spring 2027.
Specs are undecided, but the memo notes the device may include a camera. Meta previously acquired AI-pendant startup Limitless, signaling this is not an ad-hoc experiment.
This means → Meta is stretching AI hardware from "on your face" to "around your neck," probing for more always-on entry points.
The hardware sells — so why is it still losing billions?
Reality Labs posted $402 million in revenue last quarter but ran up operating losses exceeding $4 billion — revenue covered less than a tenth of the losses.
In plain terms = the hardware loses money on every unit shipped. Earlier bets on the metaverse and VR headsets have yet to pay off; products like Meta Portal have been discontinued or scaled back.
Himel wrote: "To build a sustainable business beyond hardware margins, we need to monetize differentiated device software experiences."
This reflects a strategic pivot: hardware is the entry point; software subscriptions are the business model. This week Meta launched two subscription tiers for its AI chatbot across Facebook, Instagram, WhatsApp, and AI glasses.
How wide is the AI glasses lineup expanding?
Building on the existing Ray-Ban Meta and Oakley Meta lines, several new models are queued: codename "Modelo" could ship as early as next month; "Luna" and "RBM2 Refresh" are slated for fall; "Mojito VIP" is planned for December.
On the prototype side, "Artemis" and "SSG" (super-sensory glasses) will also enter internal testing this fall.
Lens manufacturer EssilorLuxottica disclosed that smart glasses sold in partnership with Meta topped 7 million pairs in 2025. Zuckerberg said AI glasses daily active users tripled year-over-year, calling the category "one of the fastest-growing consumer electronics categories ever."
What are the sales and user targets?
The memo sets a wearable sales target of 10 million units in the second half of 2026.
Meta also aims to reach 6.8 million monthly active wearable users by year-end.
This means → Meta is not just testing the waters — it is pushing at a tens-of-millions scale. Whether it hits these targets directly determines if the subscription model has a large enough user base to work.
How do software and enterprise fit in?
The devices will run Meta's latest AI model Muse Spark and an unreleased AI agent called Hatch.
Meta plans to build a wearable developer platform letting third-party developers upload apps. Put simply = the goal is to turn glasses and pendants into app-ecosystem platforms, much like smartphones.
The enterprise-facing "Wearables for Work" service targets pilot deals with at least 10 companies, including deployment in at least two organizations with 100+ employees.
Content is for reference only, not financial advice.