# Smart device privacy and AI hardware development > Developing situation record from CLSTR: https://clstr.news/situations/smart-device-privacy-and-ai-hardware-development > Updated: 2026-11-02T17:56:42.000Z. Sources: 3. Developments: 2. Privacy concerns have intensified regarding smart wearable devices from Meta and Apple. Investigations revealed that data annotators in Kenya reviewed intimate videos captured by Meta Ray-Ban smart glasses to train AI models. This led to Meta terminating its contract with the subcontractor Sama, resulting in over 1,100 job losses. Consequently, Meta faces a class-action lawsuit in the United States and investigations by the UK Information Commissioner’s Office and Kenyan data protection authorities. Simultaneously, new Apple Watch features involving audio transcriptions have raised concerns regarding passive data collection and potential wiretapping law violations. As the industry moves toward AI-driven hardware intended to succeed smartphones, privacy remains a significant barrier to adoption. While Meta’s smart glasses have faced legal challenges and restrictions in certain UK establishments due to fears of covert recording, companies are adjusting their strategies. Meta is expected to present smart glass models without cameras, while Samsung is exploring alternative form factors like pins and medallions to provide more secure and controlled user interactions. ## Timeline ### 2026-11-02: Meta and Samsung explore AI hardware to succeed smartphones Tech giants Meta and Samsung are developing AI-powered wearable devices to succeed smartphones, despite significant global privacy concerns and legal challenges regarding surveillance. 3 sources. https://clstr.news/cluster/meta-and-samsung-explore-ai-hardware-to-succeed-smartphones ### 2026-10-13: Meta and Apple face privacy scrutiny over smart device data collection Meta and Apple face scrutiny over privacy as investigations reveal intimate data captured by smart glasses and new audio features on Apple Watches that may violate consent laws. 5 sources. https://clstr.news/cluster/meta-and-apple-face-privacy-scrutiny-over-smart-device-data-collection --- Cite as: Smart device privacy and AI hardware development. CLSTR, https://clstr.news/situations/smart-device-privacy-and-ai-hardware-development