The AR glasses are called "Orion" and are being designed to replace smartphones, sources familiar with the project told CNBC. Features include live-streaming from the wearer's point of view, phone calls, and a display for the user to see information while wearing the glasses.
Facebook is developing a voice assistant — like Apple's Siri or Amazon's Alexa— in tandem with the AR glasses. Orion wearers would be able to communicate with the glasses using this voice assistant, CNBC reported.
Orion could come to market between 2023 and 2025. These dates are pushed back from an originally scheduled launch of 2020, a launch date a source told Business Insider in January. Facebook has run into the challenge of reducing the size of Orion to something palatable to potential wearers, a source who has worked on Orion told CNBC.
Facebook moved hundreds of employees from Facebook Reality Labs, which focuses on research, to an AR product team, Business Insider reported in January. The team restructuring was part of Facebook's push towards creating its AR glasses.
"We made a shift to a more functional organization last year and brought the AR product work into our product org and out of research, now that we are closer to shipping," Facebook spokesperson Tera Randall told Business Insider in January.
Facebook CEO Mark Zuckerberg teased the company's vision for augmented-reality glasses at Facebook's annual developer conference in 2017. A digital mock-up of how the glasses might look, displayed to the crowd in an onstage presentation, resembled ordinary-looking eyeglasses with the capability to superimpose digital objects in the field of view.
Facebook declined to comment, and Luxottica could not be reached at the time this report was published.
Rob Price contributed to this report.