How Meta may be 'stuck' with this Chinese supplier for its AI glasses

Facebook-parent Meta may be stuck with a Chinese hardware maker for its AI glasses. The social media giant is reportedly relying a lot on Chinese hardware maker Goertek for its new AI-powered spectacles despite the US tech giant's attempts to diversify its supply chain outside of China. Citing sources familiar with the matter, a report claimed that Goertek is manufacturing Meta's upcoming smart glasses, codenamed "Hypernova," which are expected to be unveiled this week. The report also notes that Goertek has increased its influence over Meta's supply chain through a series of acquisitions and deals. This includes taking control of Shanghai-based OmniLight, which makes micro-nano optical components for smart glasses and is contributing to the financing of a takeover of Plessey, a UK-based optics supplier to Meta.

In a statement to Financial Times, A person familiar with the matter said: “Goertek is very aggressive. Early on, they spotted the opportunity presented by the metaverse. Meta has no choice but to work with them because they are the most stable and reliable supplier for key components.”

This continued dependence on a Chinese partner stands in contrast to CEO Mark Zuckerberg's recent efforts to adopt a more hostile stance on China, including informing President Donald Trump about the importance of the US leading the AI race against Beijing. While Meta has started some production of its Quest virtual reality headsets in Vietnam, Goertek remains a key partner there as well.

How Meta faced concerns with this Chinese supplier earlier

Goertek’s actions have previously raised concerns within Meta. In 2022, people familiar with the matter said Facebook’s parent company discovered that the Chinese group was offering a lower-cost version of its VR glasses model on local e-commerce platforms, resembling the Quest.

According to the same individuals, Meta executives discussed the possibility of filing a lawsuit against Goertek but ultimately decided not to pursue legal action.

Goertek also denied producing its own VR glasses, stating it “has always strictly abided by all agreements and commercial terms signed with its partners, adhered to legal and compliant operations, and accorded the utmost respect and protection to partners’ intellectual property rights and business strategies.”

The company manufactures Meta’s Quest VR headsets and its Ray-Ban smart glasses, while also supplying specific components. Meanwhile, Meta sources parts from a range of suppliers in countries including Japan and the US.

“We have a robust, diversified supply chain so we’re not solely dependent on any one manufacturer, and we’re constantly reviewing and exploring supply chain opportunities around the world,” Meta said at that time.

Meta, which entered the VR market by acquiring Oculus in 2014 and later rebranding its headsets as Quest, has shifted its focus under Mark Zuckerberg toward AI-powered wearable devices.

The company is also working with the US government on military technology, with CTO Andrew Bosworth advising the Department of Defence on AI and a new partnership with Anduril to design AR/VR headsets for the army.

On the consumer side, its Ray-Ban Meta smart glasses, launched in 2023, have sold over 2 million units by early 2025. Meta is now developing Hypernova smart glasses, which will include a lens display for AI-powered notifications and responses.