EssilorLuxottica Could Have a Ray-Ban Issue as Backlash Grows Against Smartglasses

0545 GMT - EssilorLuxottica's mainstay Ray-Ban eyewear brand could face a long-lasting reputational hit from privacy concerns associated with its line of smartglasses, Bernstein says. Ray-Ban's smart models, produced with tech giant Meta, have suffered a public backlash from fears that wearers might use them to record interlocutors without knowledge or consent. "Women are the primary victims of smartglasses misuse [and] Meta's smartglasses have become the lightning rod in the debate around privacy, surveillance and new technologies," Bernstein's analysts write. Damper expectations for the category could in reality be positive for EssilorLuxottica, given its likely dilutive effect on margins at the Franco-Italian group, they say. Still, "we wonder how much reputational damage has been done to the Ray-Ban brand," Bernstein says.