DigiTimes

Published: 24 Aug 2025

Taiwan’s Quanta and HTC are seen as possible contract manufacturers for Google’s imminent AI glasses, as such products are expected to emerge as essential mobile devices that will drive rapid expansion across the industry.

Google is rumoured to have completed development of its first artificial intelligence-enabled glasses, which are reportedly to be made in Taiwan. But the US search giant has yet to decide on a contract manufacturer. Quanta was in charge of prototype design and is a strong contender, but market rumours suggest HTC may produce the devices.

HTC recently launched its first AI glasses model, the Vive Eagle, which it said were 100 per cent manufactured in Taiwan. The company also recently transferred some R&D personnel with skills in augmented reality and virtual reality (AR and VR), as well as non-exclusive licensed patents, to Google for US$250 million, leaving room for future collaboration between the two companies.

HTC previously sold its Powered by HTC smartphone division to Google for US$1.1 billion in a one-time deal, and some industry sources said it would be less than ideal for HTC if the recent US$250 million transaction is also a one-off.

Although contract manufacturing is no longer HTC’s core business, the company’s production of its own AI glasses shows that it has the capability. If HTC did manage to secure Google’s manufacturing contract, it would be a major boon to the company in improving capacity utilisation at its plant in Taoyuan, near Taipei, and expanding operations.

HTC’s Vive Eagle is the first set of AI glasses to support traditional Chinese voice control and is the world’s first branded wearable device to adopt an open AI architecture, allowing users to personalise their AI assistant experience by choosing from among large language models such as Google Gemini and OpenAI’s GPT.

On August 21, HTC senior vice-president Charles Huang said that the company would continue to expand AI functions and application scenarios through software updates.

The rapid development of generative AI, as well as mature AR and VR, cloud computing, and edge-computing technologies, had brought diverse options and innovations to human-computer interaction, Huang said.

Global smart glasses shipments grew by 210 per cent in 2024 from a year earlier, data showed, with a further increase of 60 per cent projected for 2025 and a compound annual growth rate above 60 per cent through 2029, Huang said.