Although Apple launched it with great fanfare in 2024VisionProTim Cook attempted to redefine digital life with "spatial computing," but after two years of market testing, reality seems to be more challenging than he anticipated.
According to an earlier report by Bloomberg reporter Mark Gurman, Apple has significantly lowered its production targets for the Vision Pro and begun cutting its marketing budget for the product. This indicates that the virtual reality headset, priced as high as $3499, is facing a severe sales slump after the initial novelty wears off.
Inventory buildup, marketing resources shifted to iPhone AI
The report, citing supply chain sources, indicates that Apple has notified its assembler Luxshare Precision to significantly reduce production capacity. Current inventory levels are sufficient to meet demand until the end of 2026, meaning that the manufacturing of new devices will be brought to a near standstill.
More obvious signs come from Apple Stores' physical locations. The Vision Pro experience area, which used to occupy prime display space, has recently begun to shrink, with some stores even moving it to a less prominent corner. Marketing budgets have also shifted—Apple has clearly decided to reinvest heavily in promoting the generative AI features of the iPhone 17, since that's currently the only real source of revenue.
Three major pain points remain unresolved: resource-intensive, expensive, and lacking sufficient application services.
The reason why Vision Pro is well-received but not commercially successful has actually been discussed repeatedly over the past two years.
Despite the unparalleled immersive experience brought by the Micro OLED screen and M-series chip, the Vision Pro's "excessive weight" makes it impossible to wear for extended periods, the "lack of killer apps" turns it into an expensive "video viewing device," and the most fatal price barrier makes it difficult for it to cross the circle of tech enthusiasts.
Especially after Meta launched the lightweight Quest 3S last year, which costs only about one-tenth of the Vision Pro, the Vision Pro's closed and expensive ecosystem seems even more isolated.
A desperate gamble with a "budget-friendly" version might involve removing the EyeSight feature.
However, Apple clearly has no intention of giving up on this market. Reports indicate that Apple's R&D team is currently focusing all its efforts on the N107...Affordable version (Temporarily referred to as Apple Vision or Vision Air by outsiders)
To keep the price between $1500 and $2000 (approximately NT$4.8 to NT$6.4), the new device may remove the external EyeSight screen that displays the user's eyes and instead use a lower-resolution panel and an iPhone-grade A-series chip. Originally scheduled for release at the end of this year, the product is now rumored to be delayed until early 2027.
Analysis: Will Vision Pro become the next Newton, or the Cube?
In my opinion, the current predicament of the Vision Pro is reminiscent of the Power Mac G4 Cube, or even earlier, the Apple Newton. They were all technologically and design marvels, but their overly avant-garde approach and neglect of users' actual pain points (price and practicality) ultimately led to commercial failure.
Apple's significant production cuts are a necessary "loss-cutting" move, but this does not mean that spatial computing is the wrong direction. Rather, it proves that before battery technology and display optics can make head-mounted displays as lightweight as glasses, forcing consumers to wear a 600-gram computer on their face is inherently a challenge that goes against human nature.
For Apple, the real test isn't whether the Vision Pro sells well, but whether the next "affordable version" can truly solve the problems of wearing comfort and application scenarios. If even the affordable version fails, Apple's dream of space computing may have to remain dormant for another five or ten years.
