The Chinese AR market features key players such as Meizu, Rokid, Xreal, Falcon Innovations Technology (Shenzhen), and Inmo.

In the past year, Xreal has also formed partnerships with Shanghai Shiya Information Technology and ShanghaiTech University for technical cooperation and product co-creation.

To support this vision, Xreal has entered into an agreement with several companies, including Zhejiang Jingsheng Mechanical & Electrical and Shanghai Longcheer Technology, to develop an AI/AR industrial chain and a comprehensive manufacturing ecosystem.

Founded in Silicon Valley, Xreal is recognized as a global leader in consumer AR glasses, having developed its own chip products and achieved the highest AR glass sales on Amazon for three consecutive years.

The company anticipates shipping between 300,000 to 500,000 AR units in 2025, with total shipments expected to surpass one million from 2022 to 2025.

In 2024, Xreal held over 37 percent of the global market share for AR glasses, while total AR glass sales in China reached 286,000 units, according to iResearch.

Over the next five years, Xreal plans to leverage Shanghai's strengths to significantly enhance its production capacity and market presence.

At the recent Pudong New Area Investment Promotion Conference on March 27, 2025, Xu Chi, CEO of Xreal Technology, announced ambitious plans for Shanghai's augmented reality (AR) glass industry.

Xreal aims to establish a robust AR ecosystem in Shanghai's Pudong New Area, positioning AR glasses as the next major terminal following smartphones.

He projected that the sector could reach a remarkable scale of CNY1 trillion (approximately USD137.7 billion) within the next one to two years.