TF International Securities analyst Ming-Chi Kuo’s latest assessment suggests that Apple Inc.’s AAPL Vision Pro shipments for 2024 may fall short of market expectations.
What Happened: While Apple enthusiasts have been eagerly awaiting this device, Kuo’s predictions indicate a potential stumbling block in its path to success.
“Based on some component suppliers’ maximum production capacity estimates, Vision Pro shipments in 2024 will be at most 400,000–600,000 units, which is less than the market expectation of more than 1 million units,” Kuo said.
The analyst, known for his accurate predictions about Apple’s product releases and supply chain information, also hinted at the possible cancellation of the low-cost version, initially projected for a 2025 launch.
“Unless Apple significantly reduces the price of Vision Pro, the anticipated significant shipment growth in Vision Pro shipments starting in 2025 may not materialize,” he added.
Kuo’s analysis also highlighted the uncertainty surrounding future hardware updates, suggesting that the Vision Pro 2 may not enter mass production until the first half of 2027.
While Kuo admitted that Vision Pro promises an excellent user experience from a technical perspective, he predicted that Apple’s first-generation mixed-reality headset might take a relatively longer time to become the next star product in the tech giant’s lineup.
Why It’s Important: Meanwhile, Meta Platforms Inc. META Quest 3 is all set to compete head-to-head with Apple Vision Pro. It will debut at the upcoming Meta Connect event starting on Sept. 27.
While Vision Pro has a hefty price tag of $3499, Quest 3 is relatively cheaper, although Meta Quest Pro is currently priced at $999.99 in the U.S.
Previously, META CEO Mark Zuckerberg said that he doesn’t think Vision Pro has any “magical” technological advancements, but Cupertino’s entry in the AR/VR segment will give more “validation to the category.”
Check out more of Benzinga’s Consumer Tech coverage by following this link.
Read Next: Google Pixel 8 May Outshine Apple’s iPhone With 7 Years Of Android Updates
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
