Apple’s mixed reality (XR) headset will enter mass production by March 2023 according to the latest DigiTimes report. Chinese manufacturer Pegatron is expected to be the main supplier for the device. Apple is believed to launch its XR headset at an event in April 2023 though initial supply will be very limited.
DigiTimes Asia and MacRumors report that Apple’s offering will be an “extended reality” headset that combines virtual, augmented, and mixed reality. It is likely set to start production in March 2023.
that the initial supply for the Apple XR headset in the first year will be somewhere in the 700,000 to 800,000 units which is lower than previous estimates of 2.5 million units. The lower supply values will not make the XR headset that profitable for suppliers though Pegatron and others will fulfill these orders so that they can be better positioned for future AR/VR products down the line.
Once Apple steps into the ring, the VR market may reach a new echelon of public interest. Apple’s brand power and deep consumer trust may transform VR headsets into the kind of must-have accessory that regular consumers feel compelled and convinced to buy.
Can Apple do for virtual reality what it did for smartphones? As a bullish VR proponent, I certainly hope so.
That said, Apple’s headset will come with the usual “Apple tax” — the device is projected to retail for more than US$2,000 — and could be limited to less than 1 million units.
DigiTimes Asia notes that
"for supply chain manufacturers that benefit from quantity, this is not a particularly profitable order." But the collaboration will likely lead to lucrative, longer-term contracts with Apple as the company builds out its AR and VR offerings. Taiwanese electronics manufacturer Pegatron, which has worked with Apple and Tesla, is said to be the exclusive partner for the final assembly of those units.
