Snap, the company behind Snapchat, took a $40 million hit on the first Spectacles as it overestimated demand for the product. It launched Spectacles 2 earlier this year and was more conservative with the orders. According to a report, it’s now working on a new version of the Spectacles which will be more expensive at $350 and feature two cameras.

Cheddar reports that Snap is going to release its new Spectacles with two cameras by the end of this year. They will have an all-new design with a frame made of aluminum. The cameras will be capable of producing augmented reality effects in videos.

The dual camera system will be utilized to overlay AR lenses and create 3D-like photo effects from the footage that the glasses capture. This is said to be part of Snap CEO Evan Spiegel’s vision to create eyewear technology that can seamlessly overlay virtual objects onto the real world.

The company is reportedly going to make around 24,000 pairs of the new Spectacles to limit the hit it has to take in case they don’t sell. The orders have been reduced even further from the 52,000 pairs of the slightly modified Spectacles 2 that it launched in September 2018. That’s quite a change compared to the 800,000 pairs it ordered of the very first Spectacles.

Snap is reportedly going to produce more iterations of Spectacles for years to come even though the product isn’t earning the company any money. It has reportedly created a plan to continue losing money on this hardware initiative until breaking even in 2020.

Filed in Gadgets. Read more about and . Source: cheddar