Apple Mixed-Reality Headset Rumored to Cost ~$1,500 to Manufacture

Apple's mixed-reality headset will cost the company around $1,500 per unit to manufacture, according to a series of reports coming out of Asia (via XRDailyNews).

apple mixed reality headset concept by david lewis and marcus kaneApple headset concept by David Lewis and Marcus Kane

The first report from Minsheng Electronics, providing a detailed breakdown of the cost of each component in the headset, shows a total cost of $1,400. Including shipping, the conservative estimate for the bill of materials (BOM) is around $1,600.

The device's most expensive components are the microOLED displays, which come in at $280 to $320. The next most costly parts are the headset's 14 camera modules, costing $160. The device's two chips, presumably referring to the main M-series SoC and a separate dedicated image signal processor, are believed to cost $120 to $140. Assembly is expected to cost $110 to $120. The firm also expects 400,000 to 500,000 headsets to be manufactured toward the end of 2023, with Apple running a 15-day preparation cycle to stock units.

Another report from Wellsenn XR suggests that the headset will carry a total cost of $1,509, while a separate Chinese report citing two other Asian analysis firms claims that the device's BOM comes to around $1,290 or $1,300, excluding shipping. These reports add that mass production will begin in the third quarter of 2023, which runs from July to September, and that the device may be called "Apple Reality Pro."

XR expert Brad Lynch noted on Twitter that this BOM is around double that of the Meta Quest Pro headset. Including packaging, shipping, and marketing, the headset's total cost is likely well below its rumored retail price of $3,000, but with a much smaller margin than most other Apple products.

Bloomberg's Mark Gurman recently claimed that Apple originally planned to sell the headset at a loss, but has now elected to sell it at its approximate cost. The device is believed to have cost Apple more than $1 billion per year to develop.

Related Roundup: Apple Vision Pro
Buyer's Guide: Vision Pro (Buy Now)
Related Forum: Apple Vision Pro

Top Rated Comments

senttoschool Avatar
10 months ago
This thing is DOA. Meta has all but given up on VR. Microsoft exited its HoloLens investment as well. Even Google just recently decided to cancel their entire Google Glasses project (remember that?).

Wallstreet investors now see VR as a huge negative on tech stocks. In 2021, releasing this thing would have probably boosted Apple's stock. In 2023, this will drag Apple's stock down.

People refer to the Apple Watch as a device that took a few generations to become popular. But we've had a century of demand for a wearable device on your wrist. The Watch had a huge market. VR has a tiny market in comparison. If Apple doesn't sell enough, I can easily see them canceling the project after 2-3 generations.
Score: 26 Votes (Like | Disagree)
DBZmusicboy01 Avatar
10 months ago
0nlyFans will look amazing on them.
Score: 25 Votes (Like | Disagree)
Robert.Walter Avatar
10 months ago

This thing is DOA. Meta has all but given up on VR.
Its exactly because meta is run like a cartoon caricature of a kindergarten fiefdom project, I think they are a v poor proxy as to what such tech can do and be useful for. (Similar for google glass.)
Score: 21 Votes (Like | Disagree)
MayaUser Avatar
10 months ago
$3000 seems cheap for what it has
Score: 18 Votes (Like | Disagree)
klasma Avatar
10 months ago

0nlyFans will look amazing on them.
And only fans will buy them.
Score: 18 Votes (Like | Disagree)
neuropsychguy Avatar
10 months ago
If these component cost estimates are true, my guesses that it would be under $2000 are wrong (does that make me an analyst? I can guess like anyone else). It has to be close to $3000 for Apple to break even including R&D, support, etc.

Depending on features and function, I’m interested in this for an educational setting. It would be perfect for one of my courses.
Score: 13 Votes (Like | Disagree)

Popular Stories

iOS 17

10 New Things Your iPhone Can Do in Next Week's iOS 17.4 Update

Friday March 1, 2024 1:30 am PST by
Apple will this month release iOS 17.4, its biggest iPhone software update of the year so far, featuring a number of features and changes that users have been anticipating for quite a while. Below, we've listed 10 new things that your iPhone will be able to do after you've installed the update, which is projected to arrive by March 7. When the day arrives, be sure to check Settings ➝...
Apple Maps vs Google Maps Feature

Apple Maps vs. Google Maps: Which Is Better?

Friday March 1, 2024 7:10 am PST by
Apple Maps has been providing navigational guidance to Apple users for almost 13 and a half years now, and much has changed about the app in that time. However, according to data from Canalys, the overwhelming majority of iPhones in the U.S. still have Google Maps downloaded as an alternative to Apple Maps, which comes preinstalled on all iPhones. We want to hear from MacRumors readers. Which do...
apple tv plus banner

Apple TV+ Gains Over 50 Movies for a Limited Time

Friday March 1, 2024 6:29 am PST by
Apple TV+ today gained over 50 movies, adding to its back catalog of content for a limited time. The collection includes a large number of popular and classic titles. Subscribers can access the movies in a "Great Movies on Apple TV+" section in the Apple TV app. Some titles are also available in 3D. Movies in the collection include: 21 Jump Street 300 American Sniper Argo ...
Google maps feaure

Google Maps Finally Rolls Out Glanceable Directions

Wednesday February 28, 2024 2:07 am PST by
After more than a year since announcing the feature, Google Maps is finally rolling out glanceable directions on Android and iOS (via Android Police). The feature allows users to view turn-by-turn directions and a live ETA directly from their device's lock screen – information that was previously only visible when a phone was unlocked. Glanceable directions also work on the app's route...
iOS 18 Mock iPhone 16 Feature Gray

iOS 18 Rumored to Be Compatible With These iPhone Models

Tuesday February 27, 2024 6:31 am PST by
iOS 18 will be compatible with the iPhone XR, and thereby also the iPhone XS and iPhone XS Max models with the same A12 Bionic chip, according to a post on X today from a private account with a proven track record of sharing build numbers for upcoming iOS updates. The post was spotted by MacRumors contributor Aaron Perris, and it has since been deleted. However, this was likely because the...
M3 MacBook Air Feature

New MacBook Air Models Launching This March: 5 Features to Expect

Wednesday February 28, 2024 1:50 am PST by
The existing 15-inch MacBook Air arrived in June 2023, which is not that long ago in terms of Mac update cycles. However, Apple released the current 13-inch ‌MacBook Air back in June 2022. It is now the oldest Mac in Apple's current crop, having not been updated in 600 days. But rumors suggest that is unlikely to be the case for much longer. According to Bloomberg's Mark Gurman, Apple has...
airpods pro 2 pink

Apple Releases New Beta Firmware for AirPods Pro 2

Thursday February 29, 2024 11:41 am PST by
Apple today introduced a new beta firmware update for the AirPods Pro 2, both the USB-C and Lightning versions. The new firmware is version 6E188, up from the prior 6B34 firmware released in December. Apple does not often provide details or notes on what features might be included in the refreshed firmware, so it is unclear what's new. Note that this software is limited to developers at the...