Magic Leap Say It Is Open to Further Investment

The Magic Leap One opened orders last week, and was met with a mixed reception from experts and critics, who were sceptical about the impact the device would have on the augmented reality (AR) market. The company has raised a considerable amount of money already, but CEO and founder of Magic Leap, Rony Abovitz says the company remains open to further cash injections.

So far, Magic Leap has raised $2.3 billion (USD), with big names such as Qualcomm, Google and Warner Bros all included in the list of investors.

Magic Leap One Reveal

Abovitz indicated in an interview with the Financial Times that the company was still receptive to further investment offers, saying: “Any company like ours attempting to do something at this scale, we are taking on some of the biggest companies in the world. We are probably always in the mode of being opportunistic about capital.”

The Financial Times interview indicated that Magic Leap still had substantial reserves of money available, but was looking at additional investments to expand internationally and create new product lines.

According to Abovitz, the first edition of the Magic Leap One is geared towards developers, not consumers, and indicated that the Magic Leap One will be making a loss for quite some time, despite the listed price of $2,295 per unit.

“Are we about instant profitability or revenue growth and innovation? We are studying what other great companies have done in the past,” he said. “These are the kinds of gears we are now thinking about.”

Magic Leap One Lightwear 2

The Magic Leap One headset has been in development for a total of eight years, despite this, the product that has emerged so far has been criticised by many analysts for not being the quantum leap in AR technology that the initial hype indicated. Some critics went to far as to declare it was only marginally more impressive than the Microsoft Hololens.

For future coverage of Magic Leap and other AR products and services, keep checking back with VRFocus.