The hybrid reality (MR) headset industry is poised for significant transformation. Estimated at USD 1.67 billion in 2024, the market is projected to expand to USD 4.23 billion by 2032, growing at a healthy CAGR of 12.7% from 2025 to 2032. This rapid growth is being fueled by ongoing product innovation, improved software capabilities, and increasing demand for immersive, spatial computing experiences across both enterprise and consumer markets.

Apple Vision Pro & visionOS 26: Enhanced Personalization and Productivity

Apple is redefining spatial computing with its Vision Pro, and the upcoming visionOS 26 is set to significantly elevate the user experience. Key highlights from WWDC 2025 include:

• Upgraded Personas (3D avatars): The new update brings more realistic digital representations with finer facial details, hair textures, improved skin tones, and the ability to wear virtual accessories like glasses. These improvements enhance virtual meetings and shared experiences.
• Spatial Widgets: Users can now anchor widgets like Clocks, Calendar, and Photos within their physical environment. These widgets are location-persistent, meaning they remain where you place them—even after rebooting the device—offering a more seamless and memory-like experience.
• Lighter Variant in Development: Apple is reportedly working on a lighter, more affordable version of the Vision Pro, aiming to broaden consumer adoption by reducing the bulk and price barriers. Launch is expected as early as late 2025 or 2026.

Apple’s tight integration between hardware, software (visionOS), and ecosystem apps sets a high bar for competitors and positions it as a long-term leader in the MR market.

Meta’s “Puffin”: Lightweight and Controller-Free MR for the Masses

Meta is pivoting toward minimalist MR with its new headset codenamed “Puffin,” targeting a 2026 release. Abandoning its Quest 4 plans, Meta is taking a bold leap into hybrid reality focused on everyday utility:

• Ultra-Light Design (~110 grams): Significantly lighter than existing models, Puffin emphasizes comfort and extended wearability.
• No Controllers: Instead of traditional controllers, it will feature eye-tracking, hand gestures, and voice input. This shift toward natural user interfaces aligns with Meta’s broader ambitions for intuitive spatial interaction.
• External Compute Puck: Puffin offloads its processing to a separate puck-like device worn on the body, making the headset itself featherlight. This enables more power-intensive features without adding weight to the headset.
• HorizonOS Ecosystem: Puffin will run on Meta’s HorizonOS, optimized for collaboration, communication, and productivity over gaming—highlighting Meta’s strategy to target professionals and daily users.

With Puffin, Meta aims to bring MR to a broader audience through a more user-friendly and hardware-efficient form factor.

Samsung’s Project Moohan: Affordable MR with Android XR

Samsung, a major force in mobile innovation, is preparing to enter the hybrid reality space with Project Moohan—an MR headset running on Android XR, in collaboration with Google.

• Strategic Launch with Foldables: Project Moohan is expected to debut alongside the Galaxy Z Flip 7 and Fold 7 in July 2025. This coordinated release strategy suggests Samsung aims to integrate hybrid reality into its broader hardware ecosystem.
• Cost-Conscious Positioning: Unlike Apple’s premium-priced Vision Pro, Samsung is targeting affordability, aiming to offer high-end MR functionality at a more accessible price point.
• Android XR Platform: By leveraging Google’s Android XR, the headset is expected to benefit from a rich app ecosystem and broad developer support, potentially accelerating consumer adoption.

Samsung’s entry brings a much-needed Android-based rival into the MR space, balancing innovation with price sensitivity for the mass market.

Qualcomm’s AR1+ Platform: Enabling Smart, Standalone MR Glasses

While Qualcomm doesn’t manufacture headsets itself, it plays a foundational role in powering MR and AR hardware through its cutting-edge chips.

• Snapdragon AR1+ Platform: The newly unveiled AR1+ is designed for AI-capable, standalone AR/MR glasses. It’s smaller, more power-efficient, and optimized to run on-device AI models with up to 1 billion parameters—without needing cloud connectivity.
• RayNeo X3 Pro Integration: The platform was showcased in RayNeo’s smart glasses, demonstrating advanced features like real-time translation, visual search, and contextual assistance.
• Edge AI Advantage: This capability allows MR devices to offer fast, secure, and intelligent features even in offline scenarios—ideal for both consumer convenience and enterprise use.

Qualcomm’s innovation enables a future where MR glasses become smarter, lighter, and more independent, opening up new possibilities in education, fieldwork, retail, and personal productivity.

A Multi-Front Revolution

The hybrid reality headset market is evolving fast, driven by:

• Technological leaps in spatial computing, AI integration, and display innovation
• A shift toward lighter, standalone, and controller-free hardware
• Growing enterprise use cases—from remote collaboration and 3D design to immersive training and simulation

With Apple focusing on ecosystem refinement, Meta pushing for minimalism and accessibility, Samsung entering with affordability, and Qualcomm enabling powerful AI at the edge, the industry is set to move from early adoption to mainstream reality over the next decade.

From niche novelty to practical productivity, hybrid reality headsets are shaping the next generation of computing. Backed by aggressive innovation and market demand, the sector’s projected rise to $4.23 billion by 2032 reflects not just growth—but a paradigm shift in how humans interact with digital information in real space.