Introduction
Apple is gearing up to release its first smart glasses chip by late 2026 and its first AI server chip by 2027, according to a report by Bloomberg. The move signals Apple’s strategic push into the emerging markets of wearable technology and artificial intelligence (AI) servers.
The chips, currently in development, are part of Apple’s broader effort to reduce reliance on third-party suppliers like NVIDIA and Qualcomm. With the new hardware, Apple aims to compete with Meta’s successful Ray-Ban glasses and emerging AI platforms.
Apple’s silicon team is currently designing a power-efficient processor specifically for wearable glasses, suggesting the long-rumoured product could be inching closer to reality.Bloomberg report by Mark Gurman
Apple’s New Chips: Key Developments
Smart Glasses Chip: Expected to launch in late 2026, aimed at non-AR glasses with AI-powered features.
AI Server Chip: Scheduled for 2027, developed in collaboration with Broadcom and manufactured by TSMC using the N3P process.
New MacBook and iPad Chips: M5 chip to debut by the end of 2025, enhancing performance and energy efficiency.
Modem Chip Roadmap: Apple’s custom C2 and C3 modem chips set for release in 2026 and 2027.
Competing with Meta: Apple’s smart glasses are expected to rival Meta’s planned AR glasses, which are set to launch in 2027.
techovedas.com/apples-c1-modem-the-beginning-of-the-end-for-qualcomm
Apple’s Push into Wearables: Smart Glasses Chip by 2026
Apple is reportedly working on a custom chip specifically designed for its upcoming smart glasses. The chip is expected to enter mass production in late 2026 or early 2027.
Unlike previous rumors about AR glasses, Apple is now focusing on non-AR smart glasses that use AI and cameras to provide smart features.
The smart glasses will likely offer hands-free capabilities, allowing users to interact with apps, scan the environment, and receive AI-generated information.
This pivot towards non-AR glasses suggests Apple is prioritizing immediate functionality over more complex AR features, which remain years from practical use.
Apple positions its smart glasses project as a direct challenge to Meta’s Ray-Ban smart glasses, which continue to gain traction in the wearables market.
Meta plans to launch its first AR glasses in 2027, positioning Apple’s 2026 launch as a strategic move to capture market share ahead of Meta.
https://www.yolegroup.com/product/report/overview-of-the-semiconductor-devices-industry-h1-2025
Apple Targets AI Server Market with New Chip
In addition to the smart glasses chip, Apple is also developing a specialized AI server chip, codenamed Baltra Apple plans to release the chip in 2027, utilizing TSMC’s advanced N3P process.
Apple aims to power its data centers and AI platforms with the AI server chip, reducing its reliance on third-party providers like. NVIDIA. According to Commercial Times, Apple is working with Broadcom to develop the chip, signaling its ambition to strengthen its AI capabilities.
The Baltra chip will focus on accelerating AI workloads, supporting advanced machine learning models, and enabling faster data processing. This development aligns with Apple’s strategy to integrate more AI-driven features across its product lineup, including iPhones, Macs, and smart glasses.
techovedas.com/trump-scraps-ai-diffusion-rules-3-key-impacts-on-chips-middle-east-and-nvidia
New Mac and Mobile Chips in Development
Apple is also working on new chips for its MacBook and iPad lineup. The M5 chip is expected to debut by the end of 2025 in the iPad Pro and MacBook Pro. The chip will deliver enhanced performance and improved energy efficiency, positioning Apple’s devices to handle more demanding applications.
In the mobile segment, Apple has already launched its C1 modem chip in the iPhone 16e earlier this year. The chip improves wireless data connections, and Apple plans to follow it up with C2 and C3 modem chips for future iPhone models in 2026 and 2027.
Apple’s Chip Strategy: Building a Self-Reliant Ecosystem
Apple’s aggressive chip development strategy reflects its ambition to control more of its hardware ecosystem. By designing custom chips for wearables, AI servers, and mobile devices, Apple reduces its reliance on NVIDIA, Qualcomm, and other third-party chipmakers.
In the wearables market, Apple aims to challenge Meta, which plans to release AR glasses by 2027. By launching its smart glasses chip in 2026, Apple seeks to gain a competitive edge.
In the AI sector, the Baltra chip project represents a major step towards AI hardware development, aligning with Apple’s broader efforts to integrate AI capabilities across its product ecosystem.
techovedas.com/baltra-apple-to-debut-ai-processor-in-2026
Apple’s Upcoming Chip Roadmap
| Chip | Product | Expected Launch | Key Features |
|---|---|---|---|
| Smart Glasses Chip | Smart Glasses | Late 2026 to 2027 | AI-powered, non-AR functionality |
| Baltra Chip | AI Servers | 2027 | TSMC N3P process, Broadcom collab |
| M5 Chip | MacBook, iPad | End of 2025 | Enhanced performance, energy efficiency |
| C1 Modem | iPhone 16e | 2025 | Faster wireless data connections |
| C2 and C3 Modems | Future iPhones | 2026-2027 | Advanced modem capabilities |
Conclusion
Apple is investing heavily in custom chip development to reduce reliance on third-party suppliers and strengthen its hardware ecosystem.
The upcoming smart glasses chip, AI server chip, and M5 chip for Macs and iPads indicate a broader strategy to expand into wearables, AI, and high-performance computing.
As Meta plans its AR glasses launch for 2027, Apple’s 2026 timeline for smart glasses could provide a first-mover advantage in the wearables market.
Meanwhile, the Baltra AI server chip aims to bolster Apple’s data processing capabilities, positioning it as a significant player in the AI sector.
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