Apple's Vision Pro Headset Orders Cut

Apple has reportedly cut orders for its Vision Pro headset, expecting to sell only 400,000 to 450,000 units in 2024, significantly lower than the initial consensus. Due to the unexpected drop in demand, Apple may delay the release of a lower-cost mixed reality headset beyond 2025. This move could have industry-wide implications, particularly for components like Micro OLED displays, impacting the future adoption of VR and AR technologies.

Key Takeaways

• Apple significantly cuts Vision Pro shipment forecasts for 2024, expecting to sell only 400,000 to 450,000 units.
• The $3,500 Vision Pro faced much lower demand than anticipated, prompting Apple to adjust its headset roadmap.
• Apple's setback with Vision Pro may impact the VR and AR-specific components adoption rate for mass production.
• The company is possibly delaying the release of a lower-cost mixed reality headset beyond 2025.

Analysis

Apple's decision to slash Vision Pro headset orders indicates lower than expected demand and could result in delayed release of a lower-cost mixed reality headset, impacting the adoption of VR and AR technologies. This move may have industry-wide implications, affecting component suppliers and the mass production of VR and AR-specific components. The unexpected drop in demand for the Vision Pro could potentially disrupt the future trajectory of VR and AR technologies. This may also affect Apple's supply chain partners and competitors in the tech industry, as well as industry analysts, whose insights underscore broader industry reverberations if Vision Pro underperforms.

Did You Know?

• Vision Pro headset: A high-end virtual reality (VR) and augmented reality (AR) headset developed by Apple, expected to be priced at $3,500.
• Micro OLED displays: Advanced display technology that uses smaller organic light-emitting diodes (OLEDs) to create high-resolution, power-efficient displays. These displays are likely a key component of Apple's Vision Pro and lower-cost mixed reality headsets.
• Ming-Chi Kuo: A respected and influential analyst known for providing insights and predictions about Apple's future product releases and the tech industry as a whole.