Eleven years after its Gear VR, Samsung has recently released its Galaxy XR headset, developed in collaboration with Google and Qualcomm. The product — priced at $1,799, which is half of the Apple Vision Pro’s $3,499 tag — marks a major challenge to Apple.
Running on Android XR and powered by Google’s Gemini AI, the device seamlessly blends virtual and mixed reality, allowing users to watch immersive videos and interact with real-world objects through AI analysis.
Google and Samsung claim that AI integration is the key differentiator: Gemini identifies physical objects, responds to gestures, and contextualizes information through multimodal processing of text, video, and images.
Analyst Anshel Sag from Moor Insights & Strategy estimates that Google’s software adds about $1,000 in value, calling it a strategic move that strengthens the ecosystem. With the purchase, buyers receive 12 months of Google AI Pro, YouTube Premium, and Play Pass, underscoring the company’s strategy to tie content directly to the hardware.
The device is much more affordable and lightweight than Apple Vision Pro — addressing two major drawbacks of the latter. However, in such a niche market, Apple’s position on the stock screener is probably not at risk. Still, Samsung’s announcement coincided with a modest rise in tech shares, with several top stock gainers among semiconductor and AI hardware firms benefiting from investor optimism around mixed-reality innovation.
Samsung’s Jay Kim revealed that the project — code-named Moohan (“infinite” in Korean) — had been in development for a decade, with Google joining four years ago to align XR with Android’s open platform. Qualcomm’s Snapdragon XR2+ Gen 2 chip powers the headset, striking a balance between performance and battery efficiency.
Google VP Shahram Izadi confirmed that the Galaxy XR is the first in a series of lighter, AI-powered eyeglasses, developed in partnership with Warby Parker and Gentle Monster.
The timing reflects a cautious approach to entering an uncertain sector. While the Head-Mounted Display market is expected to grow only 2.6% (to $7.27 billion) in 2026, shipments of VR and mixed-reality headsets are projected to decline 20% year-over-year in 2025. Yet, lighter AI glasses, such as Meta’s Ray-Ban, are expected to drive most of the new growth.
Counterpoint analyst Flora Tang noted that Samsung’s more competitive pricing could make project Moohan “a strong contender in the premium VR segment, especially for enterprise clients.” Indeed, the Galaxy XR may signal a turning point.
Meta holds roughly 80% of the VR market, with Apple trailing and OpenAI entering the hardware race through a $6.5 billion acquisition of Jony Ive’s firm, io Products. Samsung’s launch gives Android XR a solid foundation, offering developers and enterprises a credible alternative to Apple’s closed ecosystem.
So far, user adoption remains quite uncertain. Issues such as comfort, battery life, and the lack of “killer apps” have limited the success of headsets. The Galaxy XR’s fusion of AI and mixed reality may appeal to professionals in certain fields, such as training, design, and telepresence, but its broad daily use has yet to be proven.
According to Gartner, widespread adoption will not occur until devices become lighter and more socially acceptable, as smart glasses will enhance reality with helpful overlays rather than completely cut users off from the world.
Many experts predict that the future lies in sleek, AI-powered eyewear rather than heavy headsets. Meta’s Ray-Ban smart glasses illustrate this trend, having already sold over 2 million pairs and projected to grow at a staggering 60% annually through 2029.
People seek an AI companion that follows them through the day without completely isolating itself from the surrounding world. With Google and Samsung working on their own Android XR glasses, this approach may become an industry standard.
In essence, Samsung’s Galaxy XR is less a destination than a strategic bridge — a proof-of-concept linking immersive computing to everyday wearables. If its ecosystem flourishes, it could reignite competition in extended reality and accelerate the shift from VR headsets to AI-powered augmented eyewear.