TLDRs;
-
Meta plans a 2026 smartwatch with AI and health-tracking features.
-
Malibu 2 smartwatch expected to integrate Meta AI for hands-free use.
-
Smart glasses growth drives Meta’s renewed wearable strategy globally.
-
Meta balances multiple device launches while delaying some mixed-reality projects.
Meta Platforms is reportedly planning a return to the smartwatch market with its first wearable device in years.
According to The Information, the upcoming smartwatch, code-named “Malibu 2,” is slated for a 2026 release and is expected to integrate health-focused features alongside a Meta AI assistant. The move marks a potential revival for Meta’s wearable ambitions, which were temporarily paused in 2022 amid broader budget cuts at its Reality Labs division.
The “Malibu 2” project signals a strategic pivot toward AI-driven wearables. While Meta has yet to publicly confirm the report, the potential smartwatch would position the company to compete in a market increasingly dominated by Apple and Google, where health and AI capabilities are becoming standard expectations.
AI and Health at the Forefront
The upcoming smartwatch is expected to deliver more than standard notifications. Industry analysts suggest that “Malibu 2” will include health-monitoring functionalities such as heart rate tracking, fitness metrics, and potentially sleep analysis. The integration of a Meta AI assistant could allow users to interact with the device hands-free, making it a companion not just for notifications but for actionable insights on health and productivity.
By combining wearable health data with AI assistance, Meta could leverage a unique position in the ecosystem. While smart glasses can provide visual or auditory interactions, a smartwatch can store personal health information and deliver notifications seamlessly. Together, these devices could maintain constant AI accessibility without requiring active engagement from the user.
Smart Glasses Growth Influences Strategy
Meta’s renewed smartwatch ambitions come as the company’s smart glasses business shows robust growth. In H1 2025, global smart glasses shipments increased by 110% year-over-year, with Meta capturing more than 70% of that market. AI-enabled glasses accounted for 78% of shipments, a notable jump from 46% in H1 2024, according to Counterpoint Research.
Sales of Ray-Ban Meta AI glasses have surged, with EssilorLuxottica reporting over seven million units sold last year, more than triple the combined total of the previous two years. This momentum in AI wearables is likely shaping Meta’s broader strategy, encouraging the company to expand AI integration across multiple device categories, including smartwatches.
Balancing Device Launches
While the smartwatch marks a potential comeback in wearables, Meta is also reassessing timelines for its augmented and mixed-reality devices to avoid overwhelming consumers. Its mixed-reality glasses project, “Phoenix,” has been delayed until 2027, and international expansion of Ray-Ban Display glasses has been temporarily paused due to domestic demand and supply constraints.
By pacing launches and strategically expanding its AI-enabled hardware, Meta appears to be building a cohesive ecosystem of wearables. The integration of AI across smart glasses and smartwatches could help the company move beyond social media, positioning Meta as a player in health, productivity, and AI-driven personal technology.
Outlook for Meta Stock
The announcement, or anticipation of a smartwatch with AI capabilities could positively influence investor sentiment, as it demonstrates Meta’s continued innovation in hardware. While the company faces competition from entrenched players like Apple and Google, the combination of AI and health-tracking features in “Malibu 2” may offer a distinctive value proposition for consumers and help diversify Meta’s revenue beyond its social media platforms.
Meta’s approach suggests a careful balancing act: expanding the wearable AI ecosystem while managing supply constraints and avoiding market fatigue. If executed successfully, the “Malibu 2” smartwatch could mark a significant milestone in Meta’s efforts to establish a multi-device AI ecosystem, reinforcing its presence in both the wearable and AI markets.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
