Apple cuts Vision Pro production

Shruti Govil
Shruti Govil April 27, 2024
Updated 2024/04/27 at 4:08 AM

According to reports, Apple is lowering its Vision Pro headset shipment projection for the remainder of the year because of decreasing demand.

According to Ming-Chi Kuo, an analyst for Apple, the company reduced orders for the Vision Pro even prior to its international release. In contrast to what Kuo claims was a “market consensus” of 700,000 to 800,000 units, his sources assert that Apple now only intends to sell between 400,000 and 450,000 units in 2024. The $3,500 Vision Pro saw significantly less demand than the business had anticipated.

Apple is already modifying its headset plan in response to the unexpected decline in sales. This could mean delaying the release of a more affordable mixed reality headset until after 2025, if it happens at all. 

Due to its superior technical capabilities, Apple’s Vision Pro has mostly impressed early adopters; nevertheless, this hasn’t kept all of them interested past the return window.

Since Apple frequently sets the pace for new product launches, the Vision Pro’s failure could have an impact on the entire market. Kuo thinks that some components designed specifically for VR and AR, like Micro OLED displays, would not see the kind of popularity that would allow them to be produced in large quantities and used in other products.

Factors involved

This sluggish absorption is caused by a number of variables. First of all, the majority of customers find the Apple Vision Pro to be too expensive. Next, we have the VR and MR competitive landscape. With the Meta Quest 3 headset, which is a fraction of the price and includes a variety of software and gaming innovations, Meta presently controls the market.

With its limited gaming functionality, the Apple Vision Pro was likewise introduced to a niche market. As a result, Apple’s VisionOS serves as the driver. Again, there are superior apps available on other platforms, and app development for the platform has lagged behind expectations.

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