I agree and love your analysis.
Apple is working on full-blown augmented reality glasses with its 1,200 engineers in Tel Aviv, but it won’t release those at first for the reasons Matt lays out. What glasses will come first? We hear something closer to what Google Glass showed us. A simple, lightweight, pair, with no camera or 3D sensors.
Why? That solves all sorts of problems from price, to battery life, to weight, to privacy concerns.
Apple teaches its managers about customer journeys. It already knows the future is computing in glasses, but it knows most people aren’t ready for that. So will try with a “smartglass” version first, that’s like Apple Carplay on your face. Great for stuff that Google Glass was good at. Notifications, directions, photo previews, etc, and lightweight games and apps. Think of a big Apple Watch display that’s always in front of you when you need it.
I am not sure they are coming this year, but won’t be shocked if Tim Cook pulls out a pair as “one more thing” when it shows us the new iPhones in a month.