Apple 'Vision Pro' Likely to Take Years for Significant Profits... Numerous Challenges Ahead

Multiple Factors Including Price, Release Region, and Design Influence
iPhone and iPad Achieve 'Daebak' Immediately After Launch

Apple plans to start selling its mixed reality (MR) headset, Vision Pro, early next year, but it is expected to face several challenges, and it may take a long time before it generates significant profits and becomes a meaningful revenue source compared to other Apple devices like the iPod, iPhone, iPad, and Apple Watch.

On the 9th (local time), Mark Gurman, an Apple specialist reporter for Bloomberg News, predicted this, anticipating that the Vision Pro, first unveiled at the World Wide Developers Conference (WWDC) early last month, will struggle with sales.

[Image source=AP Yonhap News]

The Apple Vision Pro attracted attention as Apple's first new device launch in nine years since the Apple Watch was first introduced in 2014. However, with expectations that Vision Pro will face difficulties in gaining popularity, recent reports indicate that the initial sales target of 1 million units in the first 12 months has been cut to less than half by Apple.

Accordingly, Gurman predicts that the point at which Vision Pro generates significant profits will be much later than the success timelines of previously released devices such as the iPod, iPhone, iPad, and Apple Watch.

The iPhone and iPad were blockbuster devices in their first year. According to reports, the iPhone sold 1 million units in less than three months after its launch and sold over 10 million units in its first year. By 2009, the iPhone accounted for one-third of Apple's total revenue. The iPad also sold 15 million units in its first year.

The iPod was only classified and reported as a separate category in 2004, three years after its launch. Although it did not achieve immediate success, it gradually grew, and by around 2007, when the iPhone was launched, the iPod recorded annual sales of $8 billion, accounting for about 40% of Apple's revenue.

Compared to these devices, the Apple Watch did not generate significant profits in its early days after its 2015 launch, and its outlook seemed uncertain. However, combined with health services, it has now become one of Apple's major business segments. Apple has yet to report Apple Watch sales as a separate category in its financial results.

Gurman cites several reasons why he believes Vision Pro will have difficulty achieving early success.

First, the Vision Pro is priced high at $3,499 (approximately 4.56 million KRW), and its design is considered heavy and bulky, making it difficult to use. The Vision Pro is designed as a kind of computer worn on the face, and consumers must accept this awkward situation. Unlike regular glasses, it includes a display and an external battery, making it a heavy headset that may cause significant resistance. Gurman notes that consumers did not feel much resistance to the Apple Watch because they were already accustomed to wristwatches.

In particular, while devices like the iPhone and iPad do not require hardware customization for individual users, the Vision Pro requires wearing appropriate accessories tailored to the shape of the face, which is important for device use and is expected to affect sales. Accordingly, Apple plans to sell the device both online and offline but prefers customers to purchase it at physical stores whenever possible.

It is also analyzed that Apple's plan to release the Vision Pro only in the United States next year will negatively impact its success. Currently, Apple is not considering launching the device outside the U.S. until the end of next year. After that, Canada and the United Kingdom are being discussed as the first launch countries, with plans to expand to France, Australia, Korea, Japan, Hong Kong, China, and others. In the case of the Apple Watch, it was initially launched in nine countries at a price of $349. Given that the Vision Pro is priced ten times higher and will be sold only in the U.S., it is pointed out that achieving similar results will be difficult.

Gurman predicts, "Until Apple lowers the price of the Vision Pro to iPhone levels and makes it as close to regular glasses as possible, even if a cheaper version is released, consumers will choose existing devices like the Mac or iPad."

This content was produced with the assistance of AI translation services.