UPDATED 04:16 EST / JANUARY 10 2018

EMERGING TECH

Report: Facebook to enter hardware market with Portal, a $499 video chat device

Facebook Inc. will reportedly launch its first hardware device at its F8 developers’ conference in May.

Initial reports appeared in June that the tech giant was working on a smart speaker with a 15-inch touch panel, similar to Amazon.com Inc.’s Echo Show. Online news network Cheddar learned Tuesday that the video chat device, named “Portal,” is set to be unveiled in early May and go on sale in the second half of 2018.

If the Facebook Portal does materialize, it will be the first finished hardware product from the company’s secretive Building 8 lab. Regina Dugan, head of the Building 8 lab, resigned suddenly in October after just 18 months on the job.

Like the Echo Show, the Portal will be controlled through voice commands and will be marketed as a way for friends and family to video chat from a communal hub. The device will also have a wide-angle lens, according to the sources who spoke to Cheddar. The lens will be capable of facial recognition and will be able to link individual faces to their Facebook accounts.

Facebook announced last month that it was using its facial recognition technology, which is powered by the company’s artificial intelligence technology, to recognize users in any picture, whether they are tagged in it or not.

The Portal will also reportedly be able to access outside streaming services such as Spotify and Netflix. This week Facebook announced it had signed a licensing agreement with Sony/ATV Music Publishing LLC, while a similar deal was signed with Universal Music Group Inc. last month.  

This latest report of a video chat device comes just a day after Facebook announced that it was killing M, its text-based virtual assistant that combined AI and human workers. What digital assistant, if any, will be integrated into the Portal is unknown at this stage.

Facebook will be entering a market dominated by Amazon. Google LLC is also making its mark with its range of speakers and recently launched smart display speakers, which will be manufactured by JBL Inc., Lenovo Group Ltd., LG Corp. and Sony Corp. and powered by Google Assistant.

According to the sources, Facebook plans to price the Portal at $499, an incredibly high price tag considering the Echo Show retails for $230 and the recently launched 10-inch Lenovo Smart Display, powered by Google Assistant, is $250.

The Portal will reportedly be sold online and at pop-up stores.

Image: geralt; Pixabay

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