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Evening Standard
Evening Standard
Technology
Saqib Shah

Apple makes major cuts to Vision Pro headsets production target

An Apple Vision Pro may be harder to come by than initially thought.

Apple reckons the $3,500 (£2,763) mixed-reality headset will be its next must-have device, but the Vision Pro has been beset by manufacturing problems from the outset, which are only expected to get worse.

After seven years in development, Apple unveiled the headset last month, but doesn’t plan to release it till next year due to manufacturing delays.

Now, the company is reportedly scaling back production to fewer than 400,000 units, two people close to the company and its Chinese manufacturing contractor told The Financial Times.

To make matters worse, Apple is reportedly procuring components for 130,000 to 150,000 Vision Pro units in the first year from two separate Chinese suppliers.

On the whole, the numbers are far lower than Apple’s 1 million internal sales target for the first 12 months. Ultimately, that implies that the headset could be hard to find during its initial release, especially if it gets snapped up by Apple loyalists and early adopters.

But, its scarcity could be a blessing for Apple if it helps to drum up interest in a luxury product that is out of reach for many consumers.

Apple’s headset allows you to experience digital games and apps in your real-world surroundings - or what the company refers to as “spatial computing”. This is achieved using an array of cameras and two micro-OLED displays that deliver 4K TV-style visuals for each eye.

It’s these high-resolution screens - which pack more detail than any other virtual reality headset on the market - that are believed to be the cause of the manufacturing issues.

The micro-OLEDs used in the demo products Apple unveiled in June were reportedly supplied by Sony and Taiwanese chipmaker TSMC.

Sony recently said that it wasn’t keen on ramping up production due to the untested nature of the mixed-reality headset market. Micro-OLEDs are the most costly component used in the high-end gadget, and partly why it costs significantly more than rivals, including Meta’s upcoming £500 Quest 3 headset.

Apple is reportedly unhappy with the pace at which defect-free displays are being manufactured. The supply hiccups are also said to be hampering the affordable version of the headset, with Apple pushing back plans for the device, which is expected in late 2025. Apple has tapped Korean display giants Samsung and LG for the headset, but has reportedly been reluctant to switch to cheaper mini-LEDs even in the face of delays.

The follow-up headset could determine whether it is a true successor to the iPhone or another niche VR device.

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