Apple has allegedly slashed production targets for Vision Pro due to manufacturing issues related to the mixed reality headset’s complex design, a Financial Times report maintains.

Unveiled during Apple’s Worldwide Developer Conference (WWDC) in early June, the $3,500 Vision Pro represents the first big step into XR for the company. Launching sometime next year, Vision Pro is a high-end headset that combines virtual reality displays with color passthrough cameras, allowing it to do both VR and AR tasks.

Apple’s China-based contract manufacturer Luxshare, allegedly the sole assembler of the device, is now preparing to make fewer than 400,000 units of Vision Pro in 2024, according to the report, which cites “multiple people with direct knowledge of the manufacturing process,” including sources close to Apple and Luxshare.

Supply chain rumors also allege that two of Apple’s China-based component suppliers only have enough parts to produce around 130,000 to 150,000 Vision Pro units in the first year. It was previously thought Apple was operating with an internal 12-month sales target of one million units.

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Manufacturing complications apparently hinge on Vision Pro’s micro-OLED displays and outward-facing, curved lenticular display, the latter of which allows a sort of digital passthrough view of the user’s eyes.

In our hands-on, we noted Vision Pro packed top of its class lenses and displays, something Apple says is “more than a 4K TV for each eye.”

The company is reportedly unhappy with supplier productivity. It’s said the most expensive component is its internal displays, and getting enough of those micro-OLEDs to be defect-free has purportedly been a significant hurdle. Additionally, Financial Times reports the micro-OLED displays used in the headsets demoed to press at its June launch were supplied by Sony and the chipmaker TSMC.

Meanwhile, Apple is said to be working with Samsung and LG on a second-gen version of the headset, which will be reportedly cheaper than the first, which is launching sometime in 2024 for $3,500.

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Well before the first modern XR products hit the market, Scott recognized the potential of the technology and set out to understand and document its growth. He has been professionally reporting on the space for nearly a decade as Editor at Road to VR, authoring more than 3,500 articles on the topic. Scott brings that seasoned insight to his reporting from major industry events across the globe.
  • impurekind

    Well, at least they’ll be selling all the ones they do make.

    • MeowMix

      or “giving away”

    • DeepWired

      Indeed. I still don’t understand the use cases. I have zero interest for these 2D apps.

  • poppyspy

    I assume the people who get these first will all be marketing tubes and enterprises they deem worthy of early development access.

    Still not sure people can wiggle this into their home routine. But I’m sure a bunch of Startup level Unity Shops already hoping for early access.

  • fcpw

    Sorry but BS- these supply chain rumor folks are never given the full picture.

  • 130,000 would be a very small number

  • ShaneMcGrath

    More like pricing complexity!
    10% of the population can afford it and out of those maybe only 1% would want it.

  • gothicvillas

    I think their hands will be full trying to shift the ones they can produce. Apple will be happy in the end they had production issues.

  • LazyFox

    I’d totally get an Apple Vision Pro

    …I’m just waiting for a 90% off sale.

  • DeepWired

    That answer would be ok if that thing cost $350, not $3500.