$1,542 vs. $3,499: The Vision Pro’s manufacturing cost is much lower than its retail price, but Apple CEO Tim Cook has a good excuse.
JVTech News $1,542 vs. $3,499: The Vision Pro’s manufacturing cost is much lower than its retail price, but Apple CEO Tim Cook has a good excuse.
Apple Vision Pro is considered by many to be a very expensive product! Yet when you look closely, the on-board technologies justify almost everything (according to Tim Cook).
The helmet was priced at $3499
When the Vision Pro came out a few weeks ago, Social networks went up in flames ! And when we take a closer look at this space computer, the excitement is understandable. It is capable of displaying high-resolution computer graphics within millimeters of the user’s eyes, while allowing the user to control a desktop-style interface using their eyes and subtle hand gestures. However, there is a catch: its price! indeed, The Vision Pro starts at $3,499But once you add accessories like storage and straps, the total price can easily reach $4,500. It’s significantly more expensive than competing headsets, such as Meta’s Quest 3, which starts at $499..
Despite the fact that space computers include many expensive advanced components, research company Omdia estimates (via CNBC) puts the helmet’s “material cost” at $1,542Does not include research and development costs, packaging costs, marketing costs, or Apple’s profit margin. The most expensive part of the headset is the 1.25-inch Sony Semiconductor display that sits in front of the user’s eyes.. As for the screen, it’s a crucial feature on the Vision Pro. They’re packed with pixels and sharper than any competing headset. This is one of the key points that Meta CEO Mark Zuckerberg praised When he compared his Meta Quest 3 to Apple’s headset.
“The product has 5,000 patents”
The second most expensive component in the Vision Pro is the company’s main processor, which includes Apple’s M2 chip, the same chip used in the MacBook Air, and the R1 chip, a custom processor to handle video feeds and other sensors on the device. Display technologies adopted by Apple typically drop in price after the company makes them mainstream and multiple vendors compete for business. In addition, Apple CEO Tim Cook is not a fan of cost estimates and teardown analysis. “I’ve never seen one that’s accurate.”He declared during the 2015 earnings conference call.
Apple doesn’t usually discuss its suppliers, but in February Apple’s chief operating officer was asked about device pricing during an earnings conference call. “If you look at it from a price point of view, the product incorporates incredible technology”He explained. Finally, and to fully explain what we’re talking about from a pricing standpoint with the Vision Pro, Tim Cook highlighted one last thing. : “The product has 5,000 patents and is based on what Apple has spent years on, from silicon to display, including AI and machine learning. Hand tracking, room mapping, it’s all AI driven, and so we’re very excited about that. »
