Recently, foreign media have reported that Apple is adjusting the production of its Vision Pro headset, priced at $3,500. Since the summer, the company has been gradually reducing output and may cease production entirely by the end of the year. However, this move does not indicate Apple’s exit from the headset market.
While Apple has not officially confirmed these production changes, sources reveal that employees at Luxshare, the Chinese manufacturer responsible for assembling Vision Pro, have noticed shifts in production scale. It is reported that their current daily output has fallen to less than half of its peak, further validating rumors of Apple scaling back Vision Pro production.
Apple has yet to respond to this news. Nevertheless, analysts are unsurprised, pointing out that the high price of Vision Pro and its reception among consumers make the reduction in production understandable.
Jacob Burn, a technology analyst at EMARKETER, stated, “Apple’s reduction of Vision Pro production is reasonable. The product’s high price may be unaffordable for the average consumer, necessitating a reevaluation of its market positioning and marketing strategies.”
In a recent interview, Apple CEO Tim Cook discussed the market positioning of Vision Pro. He remarked, “This premium technology product is intended for those eager to embrace tomorrow’s technology today. At $3,500, it is not aimed at the mass market but rather targeted towards early adopters.”
William Kolverin, an analyst at Morningstar, concurred, “Given numerous reports of weak demand for Vision Pro and Tim Cook's recent comments, we are not surprised by Apple’s decision to adjust its production plans.”
Meanwhile, Dan Ives, a technology analyst at Wedbush Securities, believes that reducing Vision Pro production could be a wise strategy. He noted, “If rumors are true that Apple is developing a more affordable version of Vision Pro, decreasing the production of the existing model would create space for the launch of the new product.”
Despite facing production cuts and potential discontinuation, Apple’s involvement in the headset market remains active. Analysts believe that Apple will continue to invest in research and development and innovation to introduce products that better align with market demands and consumer expectations.
