Foxconn Reportedly Working on Apple's Cheaper Second-Generation Headset

Apple's long-rumored AR/VR headset has yet to be announced, but Nikkei Asia today reported that the company's manufacturing partner Foxconn is already developing a cheaper second-generation version of the headset.

apple ar headset concept 1

Image Credit: Ian Zelbo

The report cites an unnamed "executive with knowledge of the development" who claims that Apple's first headset will be "extremely expensive," with industry estimates ranging from $3,000 to $5,000. The source believes Apple's second-generation headset will have a more affordable price within the territory of "a high-end Mac computer."

From the report:

Foxconn is also helping with the AR project, four people told Nikkei Asia. The longtime iPhone assembler will work on parallel development of a cheaper second-generation AR device, four sources said. Foxconn's focus will be on automating mass production and improving production performance to help Apple lower overall costs, according to two people familiar with the plans.

Apple's plans to release a cheaper version of its AR/VR headset were first reported last month by The Information's Wayne Ma and Bloomberg's Mark Gurman. The headset would supposedly use more affordable components, such as lower-resolution lenses.

Apple's first headset is expected to be announced at WWDC in June and will reportedly have over a dozen cameras, dual 4K lenses, advanced eye and hand tracking, a physical knob similar to the Apple Watch's Digital Crown, and many other advanced features. On the software side, the device is said to have an iOS-like interface with a grid of apps.

Related Roundup: Apple Vision Pro
Tag: Nikkei
Buyer's Guide: Vision Pro (Neutral)
Related Forum: Apple Vision Pro

Popular Stories

Home Hub Command Center with Dome Base Feature

Apple Working on All-New Operating System

Thursday September 25, 2025 1:11 pm PDT by
Apple is developing an all-new operating system codenamed "Charismatic," according to Bloomberg's Mark Gurman. Apple smart home hub concept based on rumors This is likely Apple's long-rumored "homeOS" operating system. In a report last month, Gurman said both Apple's rumored smart home hub in 2026 and tabletop robot in 2027 will run the new operating system. He said the software platform ...
Tim Cook Rainbow

Apple Event in October? Here's What to Expect

Monday September 29, 2025 9:31 am PDT by
Apple's annual iPhone event is in the rearview mirror, but rumors suggest the company plans to release a handful of additional products before the year ends. Will there be another Apple event this October? We discuss the possibility below. Apple in October Apple's most recent October events were in 2021 and 2023. In 2022 and 2024, Apple did not host an October event. Instead, it...
iOS 26

Apple Continues to Prepare iOS 26.0.1 With Multiple Bug Fixes Expected

Sunday September 28, 2025 1:30 pm PDT by
Apple is preparing to release iOS 26.0.1, according to a private account on X with a proven track record of sharing information about future iOS versions. The account initially said iOS 26.0.1 would have a build number of 23A350, but they now expect the update to have a build number of 23A355. This suggests that the software update will include more bug fixes or changes than initially...
Apple MacBook Pro M4 hero

New MacBook Pro Nears Mass Production, But Four Bigger Upgrades Expected Next Year

Sunday September 28, 2025 2:08 pm PDT by
Apple's next MacBook Pro models will enter mass production soon, according to the latest information shared by Bloomberg's Mark Gurman. In his Power On newsletter today, Gurman said he continues to believe the new MacBook Pro models will be released at some point between late 2025 and the first quarter of 2026, meaning they should be available to order by March at the latest. Apple often...
iOS 26

Apple Releases iOS 26.0.1 With Fixes for Wi-Fi, Cellular, and Camera Issues on iPhone 17 Models

Monday September 29, 2025 10:12 am PDT by
Apple today released iOS 26.0.1 and iPadOS 26.0.1, the first updates to the iOS 26 and iPadOS 26 operating systems that came out earlier this week. The new software can be downloaded on eligible iPhones and iPads over-the-air by going to Settings > General > Software Update. According to Apple's release notes for the update, iOS 26.0.1 addresses a bug that could cause aberrations in...
iOS 26 Battery Glass Feature

iPhone 16 Pro Max 80% Charge Limit: One Year Later, Was It Worth It?

Wednesday September 24, 2025 3:58 pm PDT by
With the iPhone 15 series, I did an experiment and kept my iPhone's Charge Limit set at 80 percent for an entire year. It provided an interesting look at the impact of charge limits on battery longevity, so I decided to repeat it for the iPhone 16 line. Since September 2024, my iPhone 16 Pro Max has been limited to an 80 percent charge, with no cheating. As of today, my battery's maximum...
iphone 17 ceramic shield

Regular iPhone 17's USB-C Charging Speeds Tested With Apple Chargers

Friday September 26, 2025 9:01 am PDT by
The website ChargerLAB has tested the standard iPhone 17 model's USB-C charging speeds with a variety of Apple's chargers, from 18W to 140W. The device reached a peak charging speed of around 27W to 28W with these Apple chargers:29W USB-C Power Adapter 30W USB-C Power Adapter 35W Dual USB-C Port Power Adapter 35W Dual USB-C Port Compact Power Adapter 40W Dynamic Power Adapter with 60W Max...
LG UltraFine 6K Display TB5

LG UltraFine 6K (32U990A) TB5 Display: Pre-Orders Open September 30

Monday September 29, 2025 6:21 am PDT by
Pre-orders for LG's new UltraFine evo 6K display (model 32U990A) with Thunderbolt 5 support will begin on September 30, according to a major U.S. retailer listing. LG first revealed the 32-inch display at CES 2025 in January, teasing its status as the first monitor to support Thunderbolt 5. At the time, LG only provided high-level specs, but left pricing, availability, and full technical...
AirPods Pro 3 Newsroom

Apple's 'Back to School' Offer Ends Soon, Now Applies to AirPods Pro 3

Wednesday September 24, 2025 7:20 am PDT by
Apple's annual "Back to School" promotion for students ends soon, so act fast if you want to score free AirPods with the purchase of an eligible new Mac or iPad. Until Tuesday, September 30, college students and qualifying educational staff in the U.S. can receive free AirPods 4 with Active Noise Cancellation when they purchase an eligible new Mac or iPad from Apple. This is a $179 value. ...

Top Rated Comments

stoid Avatar
34 months ago

first headset ... estimates ranging from $3,000 to $5,000
...
second-generation headset will have a more affordable price within the territory of "a high-end Mac computer."
I'm confused. I would consider $3-5K within the territory of "a high-end Mac computer."
Score: 26 Votes (Like | Disagree)
bLackjackj Avatar
34 months ago

Niche Market! If Apple really wants this AR/VR headset to be successful. Release the cheaper model first (see how it plays in the market) and then move towards releasing an expensive model second.
As someone who has worked in the Marketing & Sales field in IT,..I'm sorry but that makes absolutely no sense. It makes complete sense, if the objective is to release a product with a perception of high quality. They need to stand out in the overcrowded VR/ AR marketplace.

They are wanting it to have the feel of a high end product and still garner the software to support it. I'm guessing they will have only under 5 software developers they are currently working closely with.

3k is NOT expensive when you consider the quality of hardware & sensors that have been rumored. Just look at how much their computer hardware is.
Score: 14 Votes (Like | Disagree)
TheYayAreaLiving ?️ Avatar
34 months ago
Niche Market! If Apple really wants this AR/VR headset to be successful. Release the cheaper model first (see how it plays in the market) and then move towards releasing an expensive model second.
Score: 10 Votes (Like | Disagree)
contacos Avatar
34 months ago
I don’t understand who this is for? The B2B sector where the price hardly matters cuz your employer is going to pay for it? What developer is going to bother to spent money and development time on this when it’s out of reach for most customers. Have you ever seen an iPad Pro exclusive app? I don’t think so!

Personally, I’d only be interested in this if A) I was rich and B) if it was so advanced that I could dive into a world that looks actually real (think avatar) to get away from German winter for a bit every day haha imagine visiting Hawaii from your living room. However, so far everything VR/AR I have seen looks like a „updated“ version of Nintendo Wii graphics
Score: 8 Votes (Like | Disagree)
MadDawg2020 Avatar
34 months ago
How can there be a ‘second generation’ of a product that has not even seen its first generation released?!
Score: 7 Votes (Like | Disagree)
Macalway Avatar
34 months ago

I'm confused. I would consider $3-5K within the territory of "a high-end Mac computer.

I'm confused. I would consider $3-5K within the territory of "a high-end Mac computer."
Right, this is silly. More like extremely expensive for a niche gadget. The comparison is absurd.

So what is this we are going to see? Doesn't sound very interesting if I can't own one. Boring. For those non-business users that will buy one, I envy your vast wealth. This I know. So in nutshell the real release date is maybe late next year or farther out (like much).

They should have just ...not done it this way. Like SJ showing the first iPhone that 'just costs too much for anyone' .Lines would have to wait....for years.

Sorry to be so negative, but I'm finding it so easy.
Score: 6 Votes (Like | Disagree)