Apple Vision Pro
IApple Vision Pro: Following the announcement made by the technology giant Apple Inc. regarding the availability of its Apple Vision Pro mixed-reality headset, the company’s stock experienced a surge on Monday, resulting in its first day gain of 2024 shares.
Beginning on January 19, Apple will begin accepting preorders for the Vision Pro headset. Beginning on February 2, the headsets will be available for purchase at all shops in the United States as well as on the company’s online store.
After plummeting 6.4% over the course of a five-session losing skid that began on December 29th, Apple’s stock AAPL, +2.42%, now climbed 2.4% more than it did before.
Is That True? In comparison to the iPhone, Apple Watch, and iPod, how early adoption might compare to other products
It goes without saying that a price tag like that probably won’t engender the same levels of early adoption that the consumer electronics giant has seen with its previous hit devices, such as the iPhone, Apple Watch, and iPod. However, Apple Inc. is getting ready to sell its Vision Pro mixed-reality headset, which will cost $3,499, and it is expected to be available for purchase soon.
Having said that, experts at market researcher Canalys anticipate that Apple AAPL, +2.42% could still collect an installed base of 20 million users of the Vision Pro and connected devices five years after the product’s launch, which would be superior to other participants in the industry.
As the figure below demonstrates, however, the adoption of Vision Pro would still be occurring at a pace that is significantly slower than what Apple has seen for other high-profile gadgets.
However, the business will not begin selling the Vision Pro headset until the beginning of 2024, despite the fact that it was briefly mentioned during Apple’s WWDC developer event earlier in June. It is possible that Apple will only ship 350,000 of the gadgets in the first year of sales, according to forecasts made by Canalys; however, by the fifth year, Apple may sell more than 12 million of the various devices. There were more than 20 million Apple Watches shipped during the fifth year of the device’s existence, approximately 40 million iPods during the fifth year of the music player’s existence, and a significantly larger number of iPhones and iPads during the same time period.
The only product with a more dampened early adoption curve was the MacBook, which is comparable to the model that analysts utilize for the Vision Pro.
Despite the fact that the sticker price is an evident barrier to widespread adoption, Apple may reduce the price of future headsets as the company becomes more established in the market environment. Nevertheless, the analysts stated that the corporation will still be required to convince customers of the reasons why they require a gadget such as this, as well as address concerns over comfort and social shame, among other things.
“With the Vision Pro, Apple will once again show that a late market entry is no barrier to success, and Apple will own yet another new category,” analysts Jason Low and Nicole Peng stated in a research that was published not too long ago by Canalys.
A comparison of the headsets: Apple’s Vision Pro and the Meta Quest Pro, with the exception of the significant price difference between the two
A base of 20 million customers for the Vision Pro family would represent 15% of an estimated 127 million installed base for Apple’s Mac line, which is probably not too awful on a relative basis given how established the Mac industry is in the present day. This is something that they point out.
The timing of the headsets’ availability was anticipated, as Bloomberg had predicted in the middle of December that they will be released by the month of February.
The stock had dropped in value in 11 of the previous 14 sessions prior to the rebound that occurred on Monday. This occurred after the stock had closed at a record $198.11 on December 14. During the stretch, the stock had a decline of 8.5%, which resulted in a loss of around $263.3 billion in market capitalization.
Apple’s stock skyrocketed by 48.2% in the previous year, despite the fact that 2023 came to a bad conclusion. To put that into perspective, the Dow Jones Industrial Average DJIA experienced a 13.7% increase in 2023, while the Nasdaq Composite COMP experienced a 43.4% increase.