Is the Vision Pro done? Apple reportedly plans to stop production by year-end
Since its launch, Apple's first mixed reality headset, the Vision Pro, hasn't exactly been a sales hit. The steep $3,500 price tag and a lack of compelling content have reportedly slowed down sales. Now, rumors suggest that Apple might stop production by the end of the year.
According to a report from tech media outlet The Information (subscription required), Apple has sharply cut back on production of the Vision Pro headset and might halt production of the current model entirely by the end of 2024.
The report, which quotes several sources "directly involved" in producing components for the headset, claims that Apple started reducing production in early summer. This suggests that the company already has enough Vision Pro units in stock to meet demand until the device's expected end of life next year.
Suppliers have reportedly already produced enough components for 500,000 to 600,000 Vision Pro units. Some factories even halted production as early as May, responding to Apple's lower sales expectations. Warehouses are now reportedly packed with tens of thousands of unused parts.
Apple has also reportedly put a hold on the development of the second-generation Vision Pro for at least a year to shift its focus toward a more affordable version. The report suggests the company has instructed suppliers to gear up for the production of four million low-cost headsets over the product's entire lifespan – half the original target set for the Vision Pro. This suggests that Apple has even lower sales expectations for the cheaper model.
Even though development on the second-generation Vision Pro appears to be on pause, there are hints that Apple might still roll out a minor update with limited tweaks to the current model, like a chip upgrade. This would help the company make use of the large stock of leftover components in its supply chain.
It seems reasonable for Apple to halt production of the pricey Vision Pro and pivot toward developing a more affordable AR/VR headset, especially if it aims to compete with Meta and other players in the market. I think focusing on lower-end headsets, smart glasses, and AirPods with cameras could be a clever strategy. However, their success will hinge on pricing, functionality, and overall user experience.
Apple may halt production of the Vision Pro by the end of the year
According to a report from tech media outlet The Information (subscription required), Apple has sharply cut back on production of the Vision Pro headset and might halt production of the current model entirely by the end of 2024.
Suppliers have reportedly already produced enough components for 500,000 to 600,000 Vision Pro units. Some factories even halted production as early as May, responding to Apple's lower sales expectations. Warehouses are now reportedly packed with tens of thousands of unused parts.
Additionally, Apple has reportedly informed Luxshare, the Chinese company responsible for assembling the Vision Pro, that it may need to significantly cut production by November. Currently, Luxshare is producing about 1,000 units of the headset each day, which is half of the peak production rate.
Apple has also reportedly put a hold on the development of the second-generation Vision Pro for at least a year to shift its focus toward a more affordable version. The report suggests the company has instructed suppliers to gear up for the production of four million low-cost headsets over the product's entire lifespan – half the original target set for the Vision Pro. This suggests that Apple has even lower sales expectations for the cheaper model.
Wonder what using the Vision Pro looks like? Then take a peek at our demo! | Video credit – PhoneArena
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