This post seems to understate the issues facing Magic Leap. The article in The Information stated that the video that “showcased” Magic Leap technology was manufactured special effects, not an artifact of their technology. The actual devices that were shown consist of a backpack and a power and data tether. Hardly anything that would be seen even as a beta prototype.
Presumably the investors who are investing in the next round are being shown something more promising and a backpack with a tether.
I do agree with the post conclusion: Magic Leap may be wildly over-ambitious.