Apple delays its AR Headset in pursuit of a ‘Budget-Friendly’ Version

Apple is expected to release its first-generation mixed reality headset later this year, but it is also said to be working on a less expensive alternative. The report comes six months after TF International Securities analyst and frequent Apple leaker Ming-Chi Kuo first revealed that the company is planning to release a second mixed-reality headset that will be less expensive than the original model. Apple is also said to have begun development of its second-generation AR/VR headset, which will be a significant upgrade over the first-generation model, featuring more premium hardware.

According to The Information and Bloomberg, Apple is working on a more affordable version of its mixed-reality headset. After the flagship first-generation model is released this year, the device is expected to be released in 2024 or early 2025. Despite doubling down on its MR headsets, Apple is said to be delaying the release of its much-rumored augmented reality glasses.

The AR glasses, according to reports, have been put on hold due to various technical challenges and the increased focus on the two MR headsets. The glasses were already expected to be delayed until 2025 or 2026.

According to The Information, Apple’s ‘affordable’ mixed reality headset could cost as much as an iPhone, while Bloomberg’s Mark Gurman believes it will cost closer to $1,500 to compete with Meta’s mixed reality headset.

Apple engineers are thought to be using cheaper components “on par with those in the iPhone” rather than more expensive parts found in Macs to achieve the lower price point.

Apple’s flagship MR headset is expected to include cutting-edge technology such as more than ten cameras and a slew of sensors to determine where the user is looking. It is also said to be powered by a Mac M2 processor and to showcase AR and VR imagery using a dedicated chip.

The flagship device will reportedly have 4K internal displays for each eye, but the less expensive model may have lower-resolution lenses to save money. Other changes in the lower-priced device could include fewer cameras and sensors, as well as weaker processors.

According to previous rumours, Apple’s first-generation flagship MR headset will be called ‘Reality Pro,’ and it will run a custom operating system called xrOS. According to reports, a spring announcement will be made before the Worldwide Developers Conference (WWDC) in June, but the expected price tag of $3,000 may be out of reach for some potential buyers. Apple’s lower-cost MR headset is still a ways off, so it will be interesting to see how it turns out.

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