Apple’s Vision Pro headset has encountered setbacks, with the tech giant reducing its production estimates for 2024. Analyst Ming-Chi Kuo reports that the company now anticipates shipping between 400,000 and 450,000 units, significantly below the initial forecast of 800,000. This decision aligns with Apple’s plans to launch the Vision Pro internationally, indicating that weak demand in the US has already influenced production schedules.
The Vision Pro’s high price point of $3500 has drawn scrutiny, as competing virtual reality (VR) and mixed reality (MR) headsets have also faced sales challenges. Sony’s PSVR2 production was halted due to excess inventory, and the PSVR2’s pre-orders fell short of expectations. The high cost of these devices raises questions about their commercial viability.
Furthermore, Apple has shelved plans for a more affordable Vision Pro model in 2025. This decision suggests that the company may view the Vision Pro concept as a commercial failure. However, the popular Meta Quest headset series has also faced challenges, with Meta acknowledging difficulties in retaining user engagement after purchase. Despite record-breaking revenues from the Quest 3 in Q4 2023, substantial discounts on the Quest 2 have significantly boosted sales of the older model.
These developments highlight the challenges facing the VR and MR headset market, particularly in the high-end segment. The high prices of these devices, coupled with questions about sustained user engagement, may hinder their widespread adoption.
