Apple, Inc.’s AAPL Vision Pro launch did not cut ice with investors, primarily due to the pricier nature of the product.
The company could soon roll out a more affordable version, according to Bloomberg columnist Mark Gurman.
Scope For Price Cuts: Apple is already working on a cheaper version of the headset with volumes in mind, Gurman wrote in his weekly “Power On” newsletter. It could be called Apple Vision or Apple Vision One, he said.
The columnist suggested ways Apple could bring down the cost, given the technology is expensive. “And it won’t be an easy task to pull that off while making money,” he said, adding that the $3,499 price of the Vision Pro is at or near the cost to make it.
Delving into the production costs, Gurman said the three priciest components of the Vision Pro are the camera and sensor array, dual Apple silicon chips and the twin 4K microLED virtual reality displays. The likely changes Cupertino will be making with the cheaper variant, according to the columnist, are:
- Using lower-quality screens, either an iPhone-grade chip or an older Mac chip and fewer cameras
- Simpler headband design, and AirPods for spatial audio instead of the strap with speakers as seen in the Vision Pro
- Physical versus automatic IPD adjustment; IPD refers to the distance between eye pupils.
- Removal of features like the 3D camera
All these changes, along with a refined production process, economies of scale and a cheaper frame, could help the company knock several hundred dollars off the price, Gurman said.
He does not expect Apple to compromise on the external screen, known as EyeSight, which shows a wearer’s eyes as well as the eye- and hand-tracking system. These are as core to the Apple Vision as a touchscreen is to an iPhone, he said.
What’s Next: Apple is now shooting for a 2025 timeline for the launch of the cheaper Vision model, Gurman said. The company is already working on a second-generation Vision Pro with a faster processor, he said.
This reflects Apple’s intent on a two-product strategy for the device in line with the standard iPhone and iPhone Pro models, the columnist said.
“But, for now, Apple has to hope that the high price of the Vision Pro doesn’t drive people away from the category and that there will be enough consumers ready to line up for a cheaper version into 2026,” Gurman said.
Apple closed Friday’s session up 0.22% to $180.96, according to Benzinga Pro data.
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