Vision Pro’s complex design forces Apple to make significant production cuts

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Vision Pro's ultra-high-resolution display system, with 23 million pixels across two displays, reportedly runs into manufacturing challenges.
Photo: Apple TV

Apple reportedly made hefty cuts to its production goals for the Vision Pro due to the headset’s complex design, which makes mass production a challenge.

Announced at WWDC23 in June, Apple’s mixed-reality headset will go on sale in early 2024. So the company has more than a few months to sort out these manufacturing challenges.

Apple cuts Vision Pro’s production target

A Financial Times report says Apple and its manufacturing partner Luxshare will produce fewer than 400,000 Vision Pro units in 2024. Luxshare, the sole assembler of Apple’s headset, was preparing to manufacture as many as 18 million units annually in the coming years. But the production cut left the company disappointed.

Apple reportedly requested two of its China-based Vision Pro component suppliers to produce only enough materials for about 130,000 to 150,000 units for the launch year. Seemingly, this is a major cut in Apple’s sales forecast for the Vision Pro. Internally, the company supposedly set a sales target of 1 million units for the first year.

The Vision Pro’s high-definition micro-OLED displays reportedly became a major production hurdle. Supplied by Sony, Apple has not been happy with the low yield of defect-free micro-OLEDs. With a combined 23 million pixels, the Vision Pro’s micro-OLED displays are among its most cutting-edge components. They are also the most expensive part of the headset.

Cheaper Vision Pro headset could use an LG or Samsung-supplied display

Multiple reports previously indicated that Apple is developing a cheaper Vision Pro headset for 2025. To keep the price in check, the company is working with Samsung and LG to produce less-expensive displays for this model.

While they have explored using other display technologies like mini-LED, Apple wants to use micro-OLED panels even on the cheaper model. This is despite none of the company’s suppliers being able to match Apple’s requirements so far.

With the cheaper headset a few years away, Apple and its suppliers have time to sort out these technological challenges.

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