AR Startup Magic Leap Exploring Sale, Facebook Uninterested

AR startup Magic Leap is making an attempt to discover varied strategic choices, together with a sale, with firms equivalent to Fb and Johnson & Johnson, in line with Bloomberg.

Bloomberg stories that in line with nameless sources, the AR startup is now “exploring choices together with a sale” and contemplating “strategic choices that would additionally embody forming a partnership or promoting a major stake forward of a possible itemizing.” Bloomberg’s sources really feel Magic Leap “may fetch greater than $10 billion if it pursues a sale.” Magic Leap has reportedly been gauging curiosity from firms equivalent to Johnson & Johnson and Fb. Nevertheless, “an preliminary assembly between Fb and Magic Leap by no means progressed to deal talks” and Fb is reportedly not at the moment keen on a Magic Leap acquisition.

The report from Bloomberg comes after Magic Leap pivoted to concentrate on the enterprise market. After lower-than-expected gross sales on the Magic Leap 1, the corporate continues to be a methods away from a real successor within the Magic Leap 2, which is claimed to be focused for 2021.

Magic Leap Founder and CEO Rony Abovitz set excessive expectations for the Magic Leap 1 — initially the ‘Magic Leap One Creator Version’ earlier than being renamed. He hoped it will promote greater than 1 million items in its first 12 months, in line with a report final 12 months from The Info. The headset offered simply 6,000 items within the first six months, in line with the report.

In different Magic Leap information, the corporate is seeking to host a sequence of builders days at their headquarters in Florida in Might. Nevertheless, given the numerous latest occasion cancellations associated to the COVID-19 outbreak, we’d guess there’s a good likelihood we may see the same destiny befall the Magic Leap dev days as nicely.