Apple Compelled to Reduce the $3500-Vision Pro's Production Substantially: Due to its Intricate Design

Apple has been obliged to drastically cut its production projections for its recently released augmented-reality headset, the Vision Pro. According to reports, manufacturers cannot sustain the yields necessary to make Apple's Vision Pro at the rate required to meet the forecast since the design is intricate and challenging. About 1 million Vision Pro units were previously anticipated by Apple for 2024. However, it will now be limited to 400,000 units. Apple has been obliged to drastically cut its production projections for its recently released augmented-reality headset, the Vision Pro.

60% reduction in production Of the Apple Vision Pro

On this second-generation headset, Apple is collaborating with Samsung and LG. The maker of the iPhone has looked into utilising other display technologies, such as mini-LED, to reduce the price. Still, two sources claimed that Apple insisted on adopting micro-OLED even for the non-Pro headset even though all suppliers had so far fallen short of its expectations.

Because of the Apple Vision Pro's intricate design, manufacturers had to lower their expected production levels by as much as 60%. According to two sources close to Apple and Luxshare, the Chinese contract manufacturer and device's sole assembler, fewer than 400,000 Vision Pro devices are anticipated to be produced in 2024. One million people was the initial goal.

At first, Apple's internal sales goal for the first year was 1 million units. But according to the updated estimates, they would only order enough parts from two Chinese suppliers in the first year to produce 130,000 to 150,000 units.

The cheaper version was delayed

At $3,499, the Vision Pro is more than three times as expensive as the most costly headset in Meta's mixed reality and virtual reality gadgets. According to people familiar with the situation, Apple also planned to release a less expensive version of the Vision Pro, which has been delayed by at least a year. Despite these difficulties, Apple crossed the $3 trillion market cap threshold, demonstrating investors' faith in the company's capacity to increase revenue, particularly as it forays into new areas like virtual reality. The corporation still holds the title of the world's most valuable publicly traded company as of last Friday, when its shares were trading at $191.99.