EssilorLuxottica in the red after Google unveils AI glasses
EssilorLuxottica shares traded lower Wednesday on the Paris Bourse following the official presentation of Google's new AI-powered eyewear. Around 11:40 AM, the optical specialist was down nearly 0.9%, while the CAC 40 index gained 0.9% over the same period.
During its Google I/O 2026 conference yesterday evening, the American tech giant introduced its smart glasses, which will be available in two versions: one featuring in-ear voice assistance and the other equipped with a visual display. The audio-only glasses are slated for release first, during the autumn season.
The product, built on the Android XR platform developed alongside partners Samsung and Qualcomm, aims to provide users with features such as navigation, messaging, and photography without the need to take out their phones.
The concept allows users to query Gemini, Google's AI tool, about their surroundings: requesting reviews for a restaurant they are passing, identifying a cloud formation, or deciphering an unfamiliar parking sign.
These glasses will be compatible with both Android devices and Apple's iOS smartphones.
Regarding design, Google previewed two of the initial models from the Gentle Monster and Warby Parker collections, set for release at year-end.
Pricing details have not yet been disclosed.
The EssilorLuxottica/Meta monopoly challenged by tech giants?
While analysts suggest these announcements hold few surprises for investors, they also believe Google's initiative highlights the structural risks that new products from tech giants pose to EssilorLuxottica's current dominance in the smart eyewear market.
'We do not believe in a first-mover advantage within the consumer technology sector', Bernstein's team noted this morning.
'In this regard, one might wonder if demand for EssilorLuxottica's smart glasses is already under pressure, as consumers begin to anticipate the launch of competing products by the end of the year', the research firm continued.
'This could explain why second-generation Meta models, for both Ray-Ban and Oakley, are already being sold at discounted prices on their respective official websites less than a year after launch (with markdowns of at least 15% and 20%, at least in the UK and the US)', Bernstein warned.
'Such a situation would further weaken already thin margins in the smart eyewear segment', cautioned the analysts, who maintain a 'market perform' rating and a price target of 185 euros on the stock.
EssilorLuxottica is a global leader in the design, manufacture and distribution of ophthalmic lenses, frames and sunglasses. Formed in 2018, the company brings together the complementary expertise of two industry pioneers, one in advanced lens technology and the other in the craftsmanship of iconic eyewear, to set new industry standards for vision care and the consumer experience around it. Influential eyewear brands including Ray-Ban and Oakley, lens technology brands including Varilux® and Transitions®, and world-class retail brands including Sunglass Hut and LensCrafters are part of the EssilorLuxottica family.
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