Samsung Electronics has officially launched its highly anticipated Galaxy XR extended reality headset, priced aggressively at US$1,799. This launch is a definitive move into the nascent and highly uncertain “computing-on-your-face” market, which is currently dominated by Meta and Apple. The headset, which shares a form factor resembling those made by its rivals, is strategically priced at roughly half of what Apple charges for its Vision Pro headset.
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The Galaxy XR is positioned as the first in a new family of devices, born from a long-term, deep partnership with Google and Qualcomm. It operates on the Android XR operating system and relies on powerful, integrated artificial intelligence from Google’s services to provide its unique features.
The core differentiator for the Galaxy XR is its deep integration with Google’s Gemini service. This partnership allows the headset to move beyond simple display into real-time context and analysis. The long-awaited device, first demonstrated last year, combines traditional virtual reality (VR) features for immersive viewing (such as watching YouTube or playing games) with powerful mixed reality (MR) capabilities that allow users to interact with their physical surroundings.
The MR feature leverages Gemini’s multimodal AI, which can process information from different data types—including text, photos, and real-time video—simultaneously. For instance, the AI can analyse what users are seeing in the real world and offer real-time directions or detailed information about objects simply by having the user look at them and circle them with their finger.
Executives from Google and Samsung believe that the application of these powerful AI features will be key to finally driving mass consumer interest in XR, arguing that it’s a set of software capabilities that Apple has yet to fully demonstrate on the Vision Pro. As Anshel Sag, principal analyst at Moor Insights & Strategy, noted, “Google entering the fray again changes the dynamic in the ecosystem… Google really wants people to get the full experience of Gemini when using this headset.” He estimated that Google’s software adds significant intrinsic value to the device.
The project, codenamed “Moohan” (meaning “infinite” in Korean), has been a decade in the making. Jay Kim, executive vice president at Samsung’s mobile division, explained that while Samsung has studied the segment for 10 years, it was only four years ago that the company approached Google to co-develop the final product. The prototype for these AI-enhanced goggles was reportedly ready around the time Apple launched the Vision Pro in 2024.
“We have been agonising over when to bring the product to the market, and considering various factors such as technology evolution and market situation, we believe that now is the best timing,” Kim said.
The headset is powered by the high-performance Snapdragon XR2+ Gen 2 chip from Qualcomm. To sweeten the deal, customers who buy the device this year will receive a comprehensive bundle of free services, including 12 months of access to Google AI Pro, YouTube Premium, Google Play Pass, and various other specialized XR content.
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Looking ahead, the partnership promises a continued evolution of devices and form factors. Google’s Vice President of AR/XR, Sharham Izadi, confirmed that the next devices will be lighter eyeglasses, following Samsung’s announced partnerships with luxury eyewear brands Warby Parker and South Korea’s Gentle Monster.
The race to find the next major form factor, underpinned by AI, has fuelled a fierce battle among the biggest technology companies. While Meta currently overwhelmingly dominates the broader VR headset industry with an estimated 80% market share, the sector as a whole is struggling. Research firm Counterpoint reported that the global virtual reality market has faced three consecutive years of decline, with shipments expected to fall 20% year-on-year in 2025.
Even so, competition is expanding. ChatGPT maker OpenAI recently invested $6.5-billion to acquire Jony Ive’s hardware start-up, io Products, signalling its ambition to develop devices for the AI age.
Despite the shrinking overall market, analysts are optimistic about the premium segment. Counterpoint senior analyst Flora Tang noted that Samsung’s competitive pricing—half that of Apple’s device—could position the Galaxy XR as a “strong contender in the premium VR segment, particularly within the enterprise market.” Lighter, eyeglass-type AI devices, such as Meta’s smart glasses made with Ray-Bans, are expected to drive most of the projected growth in the global head-mounted display market, which Gartner estimates will reach $7.3-billion next year.
