Apple working on chips for smart glasses, new Macs and AI Servers

Apple is developing specialized processors for smart glasses, more powerful Mac computers, and dedicated AI servers, according to people familiar with the matter. The expansion of Apple's chip development efforts indicates the company's strategic push into new device categories while strengthening its existing product lineup, Bloomberg's Mark Gurman reported Thursday.The silicon design group at Apple has made significant progress on a processor for smart glasses, suggesting imminent entry into a market currently dominated by Meta's Ray-Ban smart glasses.The new chip, based on Apple Watch processors but further optimized for power efficiency, will control multiple cameras planned for the device.Mass production of the glasses processor is targeted for late 2026 or 2027, pointing to a potential product launch within two years, according to Gurman's sources. The project, code-named N401 (previously N50), reflects CEO Tim Cook's determination to compete with Meta in the smart glasses market.Apple's approach may include non-AR glasses that use cameras to scan surroundings and leverage AI assistance, similar to Meta's offering but with Apple's distinctive approach. The company is simultaneously developing AI-enhancing components for other wearables, including camera-equipped AirPods and Apple Watches.Apple's first dedicated AI server chips are also in development under the "Baltra" project, with completion expected by 2027. These processors would significantly enhance Apple Intelligence services by potentially incorporating up to eight times the processing and graphics cores of current M3 Ultra chips.Additional Mac processors in development include the M6 (code-named "Komodo"), M7 ("Borneo"), and a more advanced chip dubbed "Sotra." The M5 processor could arrive in iPad Pro and MacBook Pro models as early as late 2025.All these initiatives fall under Apple's hardware technology group led by executive Johny Srouji, with production expected to be handled by longtime partner Taiwan Semiconductor Manufacturing Co.