[onion2k]

I'm not suggesting Magic Leap are necessarily going to succeed, but a competitor 'proving' that a market is small isn't really a sign that the market is small - it's just a sign that the competitor couldn't (or wouldn't) grow the market. And launching a startup that's trying to take some percentage of an existing market is a bad idea anyway. With every single startup the goal should be to make the market bigger. Its much, much easier to persuade someone to buy a product they don't already have than it is to get them to switch from a competitor to you. Growing the market also makes your competitors less likely to get defensive because you're not eating into their business. That helps a lot at the start. You really don't want a price war with Microsoft or Google.

You're right that the current industrial AR market can't sustain Magic Leap, but hopefully Magic Leap know that and have a plan to get more companies using AR somehow.