Apple severely cuts Vision Pro production, and may stop it completely very soon

Posted:
in Apple Vision Pro edited October 23

Production of the Apple Vision Pro scaled back considerably over the summer, but a new report claims there's a chance Apple may stop it entirely by the end of the year.

A high-tech virtual reality headset with reflective goggles rests on a concrete surface, with buildings in the blurry background.
Apple Vision Pro



The Apple Vision Pro isn't a mass-market device with massive sales versus the rest of the rest of Apple's range. The relatively lower sales figures gives Apple new supply chain challenges, which it is still working out.

According to sources of The Information involved in component production for the headset, Apple reduced orders for the Apple Vision Pro early in the summer. However, the cut in production may not end there, as it is believed Apple could end up stopping assembly of the headset by the end of 2024.

Part of the decision is due to having ample supplies of the headset and components to make more to meet demand for the foreseeable future. It is claimed suppliers have produced enough components to produce approximately 600,000 headsets.

As for the assembly of the Apple Vision Pro, Luxshare has halved production of the headset to about 1,000 units per day. Apple has reportedly told Luxshare that manufacturing may have to wind down by November.

Analysts believe Apple sold approximately 370,000 headsets in the first three quarters of 2024, and will only sell another 50,000 by the end of the year. Meanwhile, it is thought that Luxshare has assembled between 500,000 and 600,000 headsets, meaning there are about 200,000 headsets in storage.

One of the reasons Apple may be trimming production and letting existing supplies run for a while is because of its work on a new cheaper model for consumers. A $2,000 version is expected to go on sale in 2026, with changes including lower-resolution displays, the loss of Eyesight, and other cost-saving changes.

A second-gen model of Apple Vision Pro is also forecasted to arrive, with production anticipated for the second half of 2025. If accurate, Apple's existing stock of first-gen units may be enough to feed demand until the second-gen iteration launches.

These plans may still change, as the Apple Vision Products Group is still tryingto work out the best way forward for the hardware category. There's always the prospect of coming up with smart glasses similar to Meta's Ray-Ban collaboration, or to go down the route of the "Holy Grail" AR spectacles.



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Comments

  • Reply 1 of 23
    “If accurate, Apple's existing stock of first-gen units may be enough to feed demand until the second-gen iteration launches.”

    What demand?
    nubuskkqd1337williamlondonneoncatgrandact73
  • Reply 2 of 23
    opinionopinion Posts: 111member
    Well, this is probably a sign that's in consistency with some other approaches Apple have in lack of customer insight as I see it. Some want a smaller iPhone - they keep getting bigger, some want a bigger iMac - it's still no one in sight, some want a new ergonomic mouse - not one in sight, some want a new Airport range - nope. Of course there are products like the Apple Vision Pro that might have a bit of a uphill to get acceptance, I remember some even questioned the iPad when it came but look at it now. But, "to make the best products" should also be done with the end price in mind. I kind of accepted that Apple has a higher price tag on their products because they are so good but with the Apple Vision Pro the price tag is out of this world.
    sflagelkiwimacheadappleinsiderusertyler82jeffharrisgrandact73watto_cobra
  • Reply 3 of 23
    I doubt they are entirely giving up on AVP, but if they would just focus on games and entertainment (They should be doing many more exclusive concerts and sports with AVP) then they can bide time while the corporate world finds their uses AND Apple can start working on a more affordable option.
    ForumPostwatto_cobra
  • Reply 4 of 23
    sflagelsflagel Posts: 866member
    AVP is exclusively a consumption device. Focus on that and produce a lot of content. Then maybe, maybe, people will buy it. 
    ForumPost
  • Reply 5 of 23
    Afarstar said:
    “If accurate, Apple's existing stock of first-gen units may be enough to feed demand until the second-gen iteration launches.”

    What demand?
    370,000 in 8 months...so on average around 1,500 a day. Just because YOU might not want one doesn't mean others don't. Is it selling in the same quantities as iPhone? Of course not, it's a niche product, but I'm sure there's plenty of firms out there that would see a sales number of 1,500 units a day as quite a good demand. It's all relative.
    mike1spliff monkeytiredskillswilliamlondonjas99ForumPostStrangeDayswatto_cobra
  • Reply 6 of 23
    Obviously it's not the final version but Apple is definitely on the right track with the Vision Pro. The virtual display is the killer app for me and it will only get better as they add a second monitor via software later this year. You can set up your office anywhere and work in complete privacy with a screen 4 times as large as your laptop screen and much clearer. I use it every day. and I've had it since launch,
     Once you work out your best system for the head strap, it's not particularly heavy either, and people seem to understand you can see them while you're wearing it, just like you were wearing ski googles - that must be due to the "eyesight."  It can be great on a plane too, as long as the plane's wifi doesn't screw up the virtual display connection. 3d content and brilliant 3d conversion of existing photos - they are unique the vision pro and once you've had them, you ain't going back. Also, Panoramas - all those panoramic photos you've taken are suddenly worlds you can inhabit again. Amazing.
    williamlondonjas99ForumPostStrangeDayswatto_cobra
  • Reply 7 of 23
    That’s better than the Atari Jaguar.
    mike1ForumPostwatto_cobra
  • Reply 8 of 23
    avon b7avon b7 Posts: 8,030member
    caskey said:
    Afarstar said:
    “If accurate, Apple's existing stock of first-gen units may be enough to feed demand until the second-gen iteration launches.”

    What demand?
    370,000 in 8 months...so on average around 1,500 a day. Just because YOU might not want one doesn't mean others don't. Is it selling in the same quantities as iPhone? Of course not, it's a niche product, but I'm sure there's plenty of firms out there that would see a sales number of 1,500 units a day as quite a good demand. It's all relative.

    The numbers sound great to me too, all things considered. Obviously a niche line but there is no substitute for real world feedback and performance metrics to build on.
    mike1muthuk_vanalingamjas99
  • Reply 9 of 23
    mike1mike1 Posts: 3,442member
    opinion said:
    Well, this is probably a sign that's in consistency with some other approaches Apple have in lack of customer insight as I see it. Some want a smaller iPhone - they keep getting bigger, some want a bigger iMac - it's still no one in sight, some want a new ergonomic mouse - not one in sight, some want a new Airport range - nope. Of course there are products like the Apple Vision Pro that might have a bit of a uphill to get acceptance, I remember some even questioned the iPad when it came but look at it now. But, "to make the best products" should also be done with the end price in mind. I kind of accepted that Apple has a higher price tag on their products because they are so good but with the Apple Vision Pro the price tag is out of this world.

    Oh, please! Do you really think Apple lacks customer insight?! "Some want" is not a go-to-market strategy or how any large company decides to deliver new products or which products/markets to enter. Apple does not do niche products, for the most part. Especially those that will not be profitable.

    Apple offered iPhone 12 and 13 Mini models. Do you think, for one second, that if those models had any success, there would not have been a 14 mini? Despite the fact that some people may prefer a smaller form factor, clearly there are not enough to justify the investment in the smaller model. Look around. Is anyone offering a small phone these days? Despite the desires of a few, the wider market is asking is for phones with larger screens.

    Some may desire a larger iMac, but I am sure Apple would have a pretty good idea how many they would sell and base the decision to develop/produce such a model on that info. Again, they used to make two larger models. They weren't discontinued/not replaced because they were wildly successful. With most sales being laptops these days, I would bet that Apple felt that a single 24" iMac would cover the requirements for most of the people, most of the time. Not a big enough business here to focus on outliers.

    Routers and mice are commodities. Apple does not need to offer a range of mouses (mice?) to round out their product line. Go buy one of the thousands of mice currently on the market. What value could Apple bring to the router that would justify the higher price and allow them to sell enough to make it worth doing? If there was an opportunity to do so, they likely would. All these tertiary products still take time and resources.
    edited October 23 jas99dewmeForumPostwatto_cobra
  • Reply 10 of 23
    mpantonempantone Posts: 2,255member
    Afarstar said:
    “If accurate, Apple's existing stock of first-gen units may be enough to feed demand until the second-gen iteration launches.”

    What demand?
    It's mostly enterprise customers. Medicine, architecture, CAD/CAM design, etc.

    It's not a consumer device and there are very few consumer usage cases for it. It simply isn't priced to compete with a $299 Meta Quest VR HMD which can play a bunch of games from the Meta Quest store as well as Steam.
    williamlondonForumPostwatto_cobra
  • Reply 11 of 23
    tzterritzterri Posts: 112member
    Sometime ago, I did a Catering to some kind of medical training center. Many of them in training were wearing these. I could see on the computer monitor what they were seeing and it was pretty awesome.
    williamlondonjas99ForumPostwatto_cobra
  • Reply 12 of 23
    So many bad takes on the AVP.

    Mobile computing that provides large screens/multiple screens isn't going to go away. It's really the only way to go forward. Apple's largest laptop screen is only 4 inches larger than the monitor that Commodore sold for the C64 back in the early 1980s. Mobile is held back by the small screens and AVP style computing is the way to change that. 
    jas99ForumPostStrangeDayswatto_cobra
  • Reply 13 of 23
    Wow they have sold and manufactured a lot more than I would have guessed!

    To be fair it looks like a really cool product, I would love to have one to play with. It's just too expensive, too niche, and it's a form factor that just isn't catching on. 

    Someone will either create a better device, or better use case for it, or it will go the same way as the 3D TV.
    williamlondonwatto_cobra
  • Reply 14 of 23
    Far too expensive and clunky at this early stage unfortunately, but fingers crossed they keep at it. I’d definitely buy a more consumer oriented Apple Vision if it came down to the price of a MacBook/iPhone and particularly if it could be readily adjusted for use by more than one family member. Gaming / photos / TV / movie / concert / music are big the drawcards for my household of three, but the other application based use cases they’ve built into AVP software from the get go look pretty handy. An AppleTV 4K stereo paired with two HomePods is our only TV and it is used daily as a family hub for music, film/tv, workouts & photos. A MacBook Air and an iPad with AirPod Pro II’s for my wife and I (and wired AirPods for our daughter) plus a PS5 controller are the supplementary device set ups if someone is using the TV. We do read books and watch stuff together but the reality is that in an everyday working family like ours, someone always wants a bit of ‘me time’ to zone out and game (daughter), watch a TV series or movie that no one else wants to watch, is too noisy or scary/adult for kids, etc, and so they grumble and shuffle off with a MacBook/iPad and AirPods for a second rate small screen experience. Considering their huge investment into film and TV series’, it has frustrated me for years how Apple doesn’t put more resources into their larger AppleTV ecosystem as well as the gaming community which now absolutely dwarves the film industry by many billions of dollars. How awesome could it be if they mastered Apple Vision and the Apple TV ecosystem including gaming (not to mention finally improving the ram and graphics functionality in Macs for gamers). Who knows but it’s definitely in the realm of possibility… 
    edited October 23 williamlondonwatto_cobra
  • Reply 15 of 23
    entropysentropys Posts: 4,312member
    Tim Apple forgot that not all Apple’s friends are Larry Ellison.
    williamlondon
  • Reply 16 of 23
    Lets remember Apple has thousands of market researchers and they knew exactly what would happen.

    This is part of the master plan.
    jas99ForumPostmattinozStrangeDayswatto_cobra
  • Reply 17 of 23
    jas99jas99 Posts: 172member
    Lets remember Apple has thousands of market researchers and they knew exactly what would happen.

    This is part of the master plan.
    Yes. 
    watto_cobra
  • Reply 18 of 23
    nubusnubus Posts: 623member
    The plan obviously failed. Like it did when Apple had to drop the price of iPhone and give refunds after 3 months. And the plan when Apple had to fully pivot Watch away from fashion. Not to mention relaunching the same HomePod or recently the MBA M2 15” launched a year after 13” due to market demand for 15” that Apple failed to see.
    williamlondon
  • Reply 19 of 23
    charlesncharlesn Posts: 1,179member
    Analysts believe Apple sold approximately 370,000 headsets in the first three quarters of 2024, and will only sell another 50,000 by the end of the year. 

    Which "analysts?" Please name them. What's the confirmed data on which they're basing these estimates? What is their track record for prior estimates of Apple sales? 

    Meanwhile, it is thought that Luxshare has assembled between 500,000 and 600,000 headsets, meaning there are about 200,000 headsets in storage.

    Really? It is thought? Please name WHO is doing that thinking and the confirmed data on which that thinking is based. 

    I'll wait... 

    The laziness, lack of sourcing and sheer irresponsibility of AppleInsider writing can sometimes be astonishing. This is one of those times. Are there no standards at all for what you're willing to publish as if it were fact? Here you publish what could only be called bombshell news by predicting the shutdown in production after just one year of what is arguably, in terms of R&D, one of the most consequential products Apple has ever launched and you publish this baseless drivel, with no sourcing for numbers quoted, but wrapped in clever writing to convey that it's the truth. Yeah, "Analysts" sure sounds authoritative until someone asks, "Who and what are their sources and are they any good at being analysts? Most "analysts" aren't. (If you doubt that, check out TipRanks which tracks the records of Wall Street analysts.) 

    Do better. 
    edited October 24 watto_cobra
  • Reply 20 of 23
    mattinozmattinoz Posts: 2,486member
    Not surprised by the stoppage. Look at the other jumps between first gen to second gen of Apple products.
    mike1watto_cobra
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