In Augmented Reality News
September 4, 2024 – Vuzix, a supplier of smart glasses and augmented reality (AR) technology and products, has this week announced that Quanta Computer Inc., a global Fortune 500 company and Original Design Manufacturer (ODM), has entered into a USD $20 million strategic investment in Vuzix.
Vuzix stated that the investment, which is part of a long-term waveguide design and supply partnership between the two companies, will help to support the expansion of its waveguide production capabilities, as well as the joint development of new AR/AI smart glasses technologies.
According to Vuzix, Quanta’s investment commitment of up to USD $20 million consists of three investment tranches: the first will consist of USD $10 million of Vuzix common stock; the second and third tranches, which are for USD $5 million each, are tied to specific milestones, and will consist of the purchase of Vuzix Series B Preferred Stock.
Quanta noted that the possibility of the second and third tranches, valued at USD $5 million each, are contingent upon meeting certain milestones. Upon completion of all three investment tranches, Quanta is expected to hold a stake of less than 19.2% in Vuzix.
“We plan to work closely with Vuzix to support the AR smart glasses industry and today’s investment in Vuzix represents a strong endorsement of our partnership,” said Frank Chuang, Vice President of Quanta Computer.
“Quanta’s investment today represents another important step in our partnership, which has steadily deepened since we first disclosed it last November,” said Paul Travers, President and CEO of Vuzix. “This investment, and the ones to follow, will significantly strengthen our balance sheet and assure that we can implement whatever steps needed to ramp production of waveguides, as well as the co-development of new smart glasses and related technologies.”
Travers added, “We look forward to expanding our customer relationship and partnership with such a leading product manufacturer as Quanta, as well as realizing the significant revenue potential it stands to generate for Vuzix in the upcoming years with both parties’ successes.”
For more information on Vuzix and its augmented reality technology solutions, including its waveguide manufacturing capabilities, click here. To learn more about Quanta and its manufacturing solutions, click here.
Image credit: Vuzix / Quanta Computer Inc.
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Sam is the Founder and Managing Editor of Auganix. With a background in research and report writing, he has been covering XR industry news for the past seven years.