The evolution of augmented reality technology has faced a notable setback as Apple has halted development of its augmented reality (AR) glasses project, codenamed N107, marking a significant shift in the company’s AR strategy. The project, which aimed to create smart glasses that could connect to iPhones or Macs, faced insurmountable technical challenges that ultimately led to its cancellation this week.
The journey toward this decision began years ago when Apple laid the groundwork for its AR ambitions. In 2015, the company acquired German AR company Metaio, followed by the Canadian mixed reality (MR) company Vrvana in 2017. These acquisitions were strategic moves to build the technological foundation for Apple’s AR ventures, including the recently released Vision Pro headset.
According to Bloomberg’s Mark Gurman, the N107 device featured advanced projectors that could display information, images and video in the field of view for each eye. The glasses were designed to resemble normal eyewear, incorporating innovative features such as lenses that could adjust their tint based on user activity, signaling to others whether the wearer was available or engaged in computing tasks.
However, several critical issues plagued the project:
• Performance limitations from iPhone and Mac chipsets
• Significant battery life constraints
• Frequent changes in development goals
• Poor prototype evaluations
The cancellation comes amid broader strategic reassessments at Apple. The company has recently shelved other ambitious projects, including its self-driving car initiative and development of in-house LED displays for the Apple Watch. These decisions reflect a more measured approach to product development and resource allocation.

The timing of this decision is particularly notable following the lukewarm reception of Apple’s Vision Pro mixed reality headset. Priced at $3,499, the Vision Pro has struggled with limited applications and lower-than-expected sales, potentially influencing the company’s decision to step back from the AR glasses project.
Despite these setbacks, Apple maintains its long-term interest in AR technology. Apple CEO Tim Cook recently acknowledged the progression of form factors in AR technology, stating, “AR is a huge deal. With Vision Pro, we’ve progressed to what is clearly the most advanced technology we’ve ever done.”
Meanwhile, competitors like Meta continue to pursue similar technology. Meta’s Orion prototype, while currently cost-prohibitive at $10,000 per unit and requiring external computing power, demonstrates the industry’s ongoing interest in AR glasses development.
Apple continues to refine underlying technologies developed during the N107 project, particularly custom microLED screens, suggesting that while this specific iteration may be cancelled, the company’s AR ambitions remain alive, albeit with a more measured approach to market-ready products.
This development leaves Meta as the current dominant player in the AR segment, though the broader race for consumer-ready AR glasses continues across the technology sector. As the industry evolves, the challenges faced by Apple’s N107 project highlight the complex balance between technological innovation and practical implementation in the emerging AR market.