There is uncertainty regarding the future of XR (extended reality) technology, as companies like Sony, Apple, Microsoft, HP, Meta, and HTC are making adjustments to their XR products and plans. Some companies, such as Sony, are continuing with their plans despite negative pre-order responses, while others, like Apple and Microsoft, are facing layoffs and cutbacks in their XR projects. The XR market is experiencing a slowdown as investors are looking for efficiency and cost-saving measures. Companies such as Meta have raised prices and announced layoffs but promise to continue investment in their Reality Labs and AI work. Microsoft has shut down its AltspaceVR group and faced denial of a big military deal for its HoloLens headset. Investors are reportedly happy with the efficiency measures being taken.
Sales beat expectations but were down 3% YoY, EPS beats estimates.