The Apple Vision Pro may not receive an upgrade, particularly not one with comparable high-end features and a hefty price tag. According to The Information, Apple has paused development on the second-generation Vision Pro, based on insights from supply chain vendors involved in its assembly. This decision serves as the latest indication of weaker-than-expected demand for Apple’s Spatial Computer six months after its initial launch.
This doesn’t mean that there won’t be any new Vision Pro releases. The report indicates that Apple is planning to develop a more affordable Vision product with fewer features, expected to launch sometime next year. This would provide a budget-friendly alternative for those who aren’t willing to spend $3,499 on a headset, regardless of its features.
Apple was thought to have two products in its Vision Pro lineup: one high-end model with the “Pro” tag, presumably the Vision Pro 2, and a more affordable standard version. While the development of the former appears to be on hold, the latter remains in progress. Reports indicate that Apple has been deprioritizing the development of the next Vision Pro headset over the past year.
Apple began developing a more affordable mixed-reality headset in 2022, codenamed “N109.” The company intended to price this model around the same range as a fully equipped flagship iPhone, which currently costs $1,599. Initially, Apple aimed for a release by the end of 2024; however, as we approach mid-2024, a solid prototype has yet to be established.
The main challenge in making the Vision Pro more affordable is that Apple is uncertain about which features to compromise without diminishing the product’s value. Initially, the company considered lowering the cost of components for the Vision Pro and creating an enhanced display for the next-generation model. However, Apple has reportedly informed at least one supplier that work on the Vision Pro 2 has been suspended. Meanwhile, the more affordable “Vision” headset remains in development, though it will include fewer features. Nonetheless, the final release could still be delayed beyond the updated target of the end of 2025.
It appears that Apple intends to keep the Vision Pro’s flagship display, one of its most costly components, for the more affordable model. The low-cost variant is expected to feature the same premium displays as the Vision Pro but will likely include a simpler headband, fewer cameras, and smaller speakers. Additionally, Apple plans to ensure that its budget headset is at least one-third lighter than the existing Vision Pro.
It’s important to note that a supplier responsible for manufacturing key components for the Vision Pro reduced production by 50% in May due to Apple’s forecast of lower-than-expected demand. Apple has manufactured a maximum of 500,000 Vision Pro units this year and has no plans to ramp up production until after August.
The Apple Vision Pro is a technological marvel, showcasing groundbreaking features that are unprecedented in the market. However, with a hefty price tag of $3,499, it remains out of reach for many consumers. Due to its lackluster adoption, the Vision Pro is now viewed as a notable flop in Apple’s lineup. With plans for a more affordable version, Apple aims to turn the situation around and succeed in its Vision Pro lineup.
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