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Apple has reportedly slashed production volumes of the Vision Pro mixed reality headset by nearly half. So says analyst and leading Apple soothsayer Ming-Chi Kuo.
In Apple’s latest Q1 2024 earnings call, it was revealed that nearly 30 percent of the technology giant’s iPhone revenue for the quarter was thanks to its presence in one market, China, and given its recent 13 percent shipments decline in the region, the company stands to lose out on a ton if its market share continues to be threatened. Unfortunately, that looks to be the case here, with analysts believing that Huawei’s comeback is creating a torrent of problems and other reasons for that sales slump.
Apple’s OLED iPad Pro family will reportedly see a launch in March this year, but new information states that the company has cut back on display orders by 30 percent. It appears that for the initial batch, the Cupertino giant does not believe that the new tablets will yield the same success as previous models, and there are likely a few reasons why this is the case, which we have discussed here.
Pre-orders of the $3,499 Apple Vision Pro commenced last week, and with three storage variants available at different pricing tiers, there were a few options that customers could choose from. Now, one analyst estimates that the AR headset was a phenomenal hit, reaching up to 180,000 units, but that does not necessarily mean that the same momentum will be carried out through the year, as several factors will determine the device's success.
The Apple Vision Pro is priced at $3,499, so it is likely that out of the initial estimated 60,000 to 80,000 units that make up the first batch, the majority of buyers will take advantage of the Apple Card to facilitate payments through installments. After all, undertaking an expensive purchase such as this is not feasible for everyone, and the mixed-reality headset has caught the attention of the masses, so it is natural for them to be lured into trying out the device. In the end, Goldman Sachs should be pleased with the outcome, as Apple Card loans are expected to reach $1 billion thanks to the upcoming launch.