Snap CEO deflects Specs preorder questions, stresses first-mover edge

Snap CEO Evan Spiegel on Monday sidestepped investors' questions about preorder demand for Specs, the company's long-awaited smart glasses, during the Q2 earnings call. The event comes just weeks before the device's scheduled launch in September.

Spiegel said feedback suggests people want to try the glasses before buying, given the premium price of $2,195. He acknowledged that developers and platform insiders recognize the technical advances, but mainstream consumers will likely need a hands-on experience. The upcoming launch event, he said, will be an important starting point.

The company unveiled Specs in June after more than a decade of development. The price tag is significantly higher than most Meta Ray-Ban smart glasses, which start at around $350, but lower than Apple's Vision Pro, starting at $3,500.

Investors also pressed Spiegel on Snap's financial strategy, its choice to go it alone, and its ability to compete with Apple, Meta, and Alphabet. Spiegel responded that the long-term opportunity to build the next computing platform is "enormous." He emphasized that Snap is a first mover in this category, which plays to its innovative strengths, unlike its late entry into social media.

Regarding product-market fit, Spiegel expects mass adoption closer to the end of the decade. He noted that weight and cost will need to decrease for unit volumes to rise. Meanwhile, Snap benefits from developers who have been building on the Specs platform for several years.