Apple is known for releasing iconic consumer devices. However, not every gadget becomes a hit.
Take it Vision ProApple’s $3,500 mixed reality headset that launched to great enthusiasm earlier this yr. Now a company apparently could also be on the verge of ending production after months of slow sales.
If this happens, it can not be a surprising event. Early on, Apple failed to take care of enthusiasm for the device it introduced as a breakthrough in “spatial computing” in areas ranging from immersive video, workplace collaboration and content creation.
A typical theme in online discussions and reviews about the Vision Pro was that while people liked it, they didn’t find many ways to suit it into their day by day work and recreation routines. As a result, even those that could afford the device considered it expensive for something rarely used.
AR/VR is still not a hit maker
Apple’s suboptimal entry into mixed reality computing follows a long series of missteps by startups in augmented reality, virtual reality and metaverse space.
Investors took notice. So far this yr, about $758 million has been committed to rounds for AR, VR and metaverse startups, in keeping with Crunchbase data. This pace represents the lowest annual total in years, as shown in the chart below.
Most startups that raised the largest funding during the 2021 funding peak have not closed recent capital rounds since then. This includes the headset manufacturer Magic jump and creator of games using augmented reality Niantic.
This yr, even though funds are limited, we are still seeing some good-sized rounds. The largest AR-related investment has occurred Rocksmaker of augmented reality glasses that raised $70 million in January. Rokid, based in Redwood City, California, markets its products primarily for workplace and industrial applications, but also has consumer offerings.
Another larger financing went to a company based in Beijing Xrealmaker of mixed reality glasses, which raised $60 million at a $1 billion round in January. The company advertises itself as cheaper competition MetaQuest and Apple Vision Pro.
Cheaper devices on the horizon?
Looking ahead, it’s likely that makers of mixed reality devices will emphasize cheaper options, provided that costlier devices have not seen much interest.
Apparently Apple is working on it smart glasses. It is also said that the company developing a cheaper headset as an alternative to the Vision Pro, which could possibly be available in 2026.
Meanwhile, Meta has launched its own smart glasses composition in cooperation with Ray-Banstarting at around $300. While it promotes features akin to hands-free calling and photo taking moderately than a portal to a virtual world, such offers can increase consumers’ comfort level when using wearable devices.
Despite the setbacks, it should still be too early to offer up on the vision of a wildly popular, wearable headset or glasses that also serves as a portal to more immersive digital experiences. But clearly we’re not there yet.