Apple’s coming augmented reality headset, the Vision Pro, comes with a hefty price tag, but it is expected to stir things up in the industry, which has been stagnating for a while, according to analysts.
Starting from $3,499, Vision Pro will go on sale in the US on February 2 (with orders starting on January 19) and is expected to grow consumer interest, analysts said.
The product is more than about three weeks’ pay for the average American, based on data from the US Bureau of Labour Statistics.
“Apple’s highly anticipated entry into the XR [extended reality] space has long been expected to mark a watershed moment for the industry,” Harmeet Singh Walia, senior analyst at Counterpoint Research, said.
“The consumer interest that Apple’s entry into the space is generating will benefit market incumbents offering competitively priced headsets, towards which many enthusiasts who wish to try the technology without incurring Apple’s hefty price tag would gravitate, boosting the global XR market.”
Worldwide shipments of augmented reality and virtual reality (AR-VR) headsets are expected to decline 8.3 per cent annually to 8.1 million units for 2023, despite the launch of new headsets during the year, according to Massachusetts-based researcher International Data Corporation.
However, Hong Kong-based Counterpoint disputes this, forecasting that AR-VR headset shipments are projected to increase by a record 3.9 million units this year, an annual increase of almost 50 per cent.
“There will be tremendous excitement because it’s a new Apple product and innovation. But keep in mind, this is a first-generation device,” Rolf Illenberger, founder and managing director of software development company VRdirect, told The National.
Apple’s chief executive Tim Cook has described Vision Pro, which is the company's first major product launch since the Apple Watch in 2015, as a new “era of spatial computing”.
“The post-holiday timing of such a release is aimed at the company’s early adopters and most individuals don’t have a spare over $3,000 to buy a luxury item in the first quarter.”
“That said, if the reviews are overwhelmingly positive, it could spark a new wave of momentum in the entire industry … and not just with Apple, but with Meta and other devices on the market as well,” Mr Illenberger said.
Munich-based VRdirect is at the forefront of utilising VR for enterprise applications, including partnerships with industry giants such as Siemens, Nestle and Porsche.
Apple’s Vision Pro is “incredibly expensive for an average consumer”, but it offers great value and experiences that are unique when compared to other headsets in the market, Jitesh Ubrani, research manager at IDC, told The National.
Apple’s installed base of existing devices and services, and a “very affluent loyal fan base” can fuel the initial sales.
“We anticipate many enterprise buyers and software developers to be first in line to purchase the Vision Pro rather than regular consumers … only a small portion of initial sales will be from consumers,” Mr Ubrani said.
Announced at the company’s Worldwide Developers Conference in June, Vision Pro will be controlled by the user’s eyes, hands and voice. It intends to blend digital content with the physical world while using spatial experiences in a visionOS operating system.
With Vision Pro, Mr Cook is following the same strategy as Apple did with the iPhone launch in June 2007, where instead of trying to compete on the same grounds as its peers, he has backed that users would happily pay for the best-in-breed VR set, Thomas Monteiro, senior analyst at Investing.com, told The National.
His trade tactic with the iPhone launch had paid well as the company sold more than 1.4 million iPhones in the first year of its launch, generating about $630 million in sales.
“No one can ever argue with Apple's ability to drive interest and desire across different levels of social spending, so we do not consider pricing a top-level issue at first,” Mr Monteiro said.
“I wouldn't be surprised by a higher-than-expected demand right from the get-go. It's clear that Vision Pro does have what it takes to take this market by storm, especially given the current level of competition and the space to grow in the industry.”
Will Vision Pro add to Apple’s profits?
From a business perspective, it is unlikely that Vision Pro will turn Apple's profitability back to the same level of growth seen in the past decade, Mr Monteiro said.
“Even considering the expected annual growth rate for the VR industry, along with Apple's growing market share in the segment, calculations are that the numbers will hardly make up for the hole left by the softening Chinese economy in the iPhone market,” he said.
Apple’s revenue in its 2023 fiscal fourth quarter dropped almost 1 per cent on an annual basis to about $89.49 billion. Its total sales in the Greater China market (China, Hong Kong and Taiwan) dropped 2.5 per cent annually to $15.08 billion in the September quarter.
“Thanks to the demand from Apple’s core fans and heavy users, the Vision Pro is expected to sell out soon, resulting in a longer shipping time,” Ming-Chi Kuo, an analyst at TF International Securities, said.
“If not, Vision Pro may take longer to become a success, which would be detrimental to the short-term stock price performance of Apple and its supply chain.”
Apple’s stock, which closed 0.23 per cent lower at $185.14 a share on Tuesday, has jumped about 41 per cent in the past year. The company’s market capitalisation stood at $2.88 trillion.
Will Apple announce a cheaper version?
The lower-priced and second-generation versions that many investors have been waiting for are “yet to be officially kicked off and are unlikely to be a trading theme shortly,” Mr Kuo said.
“However, the market’s feedback on the Vision Pro should help Apple decide quickly on the following models to come, which is something to watch for this year,” he added.
The first iteration of the Vision Pro headset will primarily attract dedicated Apple fans, developers, early adopters and enterprise users, Mr Walia said.
“A more optimistic scenario could unfold if Apple successfully boosts the supply of key components for the headset and experiences higher-than-expected interest from the end market.”
How many Vision Pro shipments are expected?
Counterpoint expects Apple to sell about half a million units of Vision Pro in 2024 while IDC predicts fewer than 200,000 units this year. Earlier, KGI Securities analyst Christine Wang also said she expected shipments of 200,000 in the first year.
In contrast, Meta has already shipped more than 10 times Apple's expected volume in the first three quarters of last year, according to IDC calculations.
Credit Suisse predicted Apple could ship more than a million in the first year.
What is AR-VR headset?
While AR enriches the real world with digital overlays, VR takes users on immersive journeys to computer-generated realms.
These experiences are enabled through VR headsets, equipped with display screens, motion sensors and audio systems, all working in concert to deliver interactive user experiences.
The global AR and VR headsets market is expected to reach $142.5 billion by 2032, from $6.8 billion in 2022, according to market researcher Precedence Research in Ottawa.
North America is expected to hold the largest market share worldwide. In the US, the AR-VR headset market revenue is expected to hit $1.88 billion last year, from $1.84 billion in 2022, Statista said.
What options are on the market?
Meta, which released its latest VR headset Quest 3 (for $499) in September, occupies more than half of the AR-VR headset market. It claimed a 55.2 per cent market share during the third quarter, followed by Sony and ByteDance.
On Monday, at the CES show in Las Vegas, Sony previewed its latest “spatial content creation” system aimed at enabling users to edit and mould 3D models while using a VR headset. Created in collaboration with Siemens, the headset targets a distinct audience – engineers who might also be contemplating the Vision Pro.
Launched in February, the Japanese firm’s PlayStation VR 2 is a cabled headset that needs to be plugged into a PS5 to work. The headset alone starts at $550. Users have to spend $500 to purchase the PS5 console.
ByteDance’s Pico 4 headset comes with motion-sensing technology. It tracks eye movement and translates it into insights that can be used for various applications. The product could not become mainstream as it is not available in the US, the biggest AR-VR headset market.
In numbers: China in Dubai
The number of Chinese people living in Dubai: An estimated 200,000
Number of Chinese people in International City: Almost 50,000
Daily visitors to Dragon Mart in 2018/19: 120,000
Daily visitors to Dragon Mart in 2010: 20,000
Percentage increase in visitors in eight years: 500 per cent
Pharaoh's curse
British aristocrat Lord Carnarvon, who funded the expedition to find the Tutankhamun tomb, died in a Cairo hotel four months after the crypt was opened.
He had been in poor health for many years after a car crash, and a mosquito bite made worse by a shaving cut led to blood poisoning and pneumonia.
Reports at the time said Lord Carnarvon suffered from “pain as the inflammation affected the nasal passages and eyes”.
Decades later, scientists contended he had died of aspergillosis after inhaling spores of the fungus aspergillus in the tomb, which can lie dormant for months. The fact several others who entered were also found dead withiin a short time led to the myth of the curse.
Key findings of Jenkins report
- Founder of the Muslim Brotherhood, Hassan al Banna, "accepted the political utility of violence"
- Views of key Muslim Brotherhood ideologue, Sayyid Qutb, have “consistently been understood” as permitting “the use of extreme violence in the pursuit of the perfect Islamic society” and “never been institutionally disowned” by the movement.
- Muslim Brotherhood at all levels has repeatedly defended Hamas attacks against Israel, including the use of suicide bombers and the killing of civilians.
- Laying out the report in the House of Commons, David Cameron told MPs: "The main findings of the review support the conclusion that membership of, association with, or influence by the Muslim Brotherhood should be considered as a possible indicator of extremism."
Profile Idealz
Company: Idealz
Founded: January 2018
Based: Dubai
Sector: E-commerce
Size: (employees): 22
Investors: Co-founders and Venture Partners (9 per cent)
War 2
Director: Ayan Mukerji
Stars: Hrithik Roshan, NTR, Kiara Advani, Ashutosh Rana
Rating: 2/5
BMW M5 specs
Engine: 4.4-litre twin-turbo V-8 petrol enging with additional electric motor
Power: 727hp
Torque: 1,000Nm
Transmission: 8-speed auto
Fuel consumption: 10.6L/100km
On sale: Now
Price: From Dh650,000
The%C2%A0specs%20
%3Cp%3E%3Cstrong%3EEngine%3A%20%3C%2Fstrong%3Etwo%20permanent%20magnet%20synchronous%20motors%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3Etwo-speed%3Cbr%3E%3Cstrong%3EPower%3A%20%3C%2Fstrong%3E625hp%3Cbr%3E%3Cstrong%3ETorque%3A%20%3C%2Fstrong%3E850Nm%3Cbr%3E%3Cstrong%3ERange%3A%20%3C%2Fstrong%3E456km%3Cbr%3E%3Cstrong%3EPrice%3A%20%3C%2Fstrong%3Efrom%20Dh737%2C480%3Cbr%3E%3Cstrong%3EOn%20sale%3A%20%3C%2Fstrong%3Enow%3C%2Fp%3E%0A
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
Mohammed bin Zayed Majlis
RESULTS
Mumbai Indians 181-4 (20 ovs)
Kolkata Knight Riders 168-6 (20ovs)
Mumbai won by 13 runs
Rajasthan Royals 152-9 (20 ovs)
Kings XI Punjab 155-4 (18.4 ovs)
Kings XI Punjab won by 6 wickets
The specs
Engine: 2.0-litre 4cyl turbo
Power: 261hp at 5,500rpm
Torque: 405Nm at 1,750-3,500rpm
Transmission: 9-speed auto
Fuel consumption: 6.9L/100km
On sale: Now
Price: From Dh117,059
Specs
Engine: Duel electric motors
Power: 659hp
Torque: 1075Nm
On sale: Available for pre-order now
Price: On request
Neil Thomson – THE BIO
Family: I am happily married to my wife Liz and we have two children together.
Favourite music: Rock music. I started at a young age due to my father’s influence. He played in an Indian rock band The Flintstones who were once asked by Apple Records to fly over to England to perform there.
Favourite book: I constantly find myself reading The Bible.
Favourite film: The Greatest Showman.
Favourite holiday destination: I love visiting Melbourne as I have family there and it’s a wonderful place. New York at Christmas is also magical.
Favourite food: I went to boarding school so I like any cuisine really.
How to help
Send “thenational” to the following numbers or call the hotline on: 0502955999
2289 – Dh10
2252 – Dh 50
6025 – Dh20
6027 – Dh 100
6026 – Dh 200
The specs
AT4 Ultimate, as tested
Engine: 6.2-litre V8
Power: 420hp
Torque: 623Nm
Transmission: 10-speed automatic
Price: From Dh330,800 (Elevation: Dh236,400; AT4: Dh286,800; Denali: Dh345,800)
On sale: Now
Fixtures and results:
Wed, Aug 29:
- Malaysia bt Hong Kong by 3 wickets
- Oman bt Nepal by 7 wickets
- UAE bt Singapore by 215 runs
Thu, Aug 30: UAE v Nepal; Hong Kong v Singapore; Malaysia v Oman
Sat, Sep 1: UAE v Hong Kong; Oman v Singapore; Malaysia v Nepal
Sun, Sep 2: Hong Kong v Oman; Malaysia v UAE; Nepal v Singapore
Tue, Sep 4: Malaysia v Singapore; UAE v Oman; Nepal v Hong Kong
Thu, Sep 6: Final
MATCH INFO
Uefa Champions League last 16, second leg
Liverpool (0) v Atletico Madrid (1)
Venue: Anfield
Kick-off: Thursday, March 12, midnight
Live: On beIN Sports HD
Company%C2%A0profile
%3Cp%3E%3Cstrong%3ECompany%20name%3A%20%3C%2Fstrong%3ETuhoon%0D%3Cbr%3E%3Cstrong%3EYear%20started%3A%20%3C%2Fstrong%3EJune%202021%0D%3Cbr%3E%3Cstrong%3ECo-founders%3A%20%3C%2Fstrong%3EFares%20Ghandour%2C%20Dr%20Naif%20Almutawa%2C%20Aymane%20Sennoussi%0D%3Cbr%3E%3Cstrong%3EBased%3A%20%3C%2Fstrong%3ERiyadh%0D%3Cbr%3E%3Cstrong%3ESector%3A%20%3C%2Fstrong%3Ehealth%20care%0D%3Cbr%3E%3Cstrong%3ESize%3A%20%3C%2Fstrong%3E15%20employees%2C%20%24250%2C000%20in%20revenue%0D%3Cbr%3EI%3Cstrong%3Envestment%20stage%3A%20s%3C%2Fstrong%3Eeed%0D%3Cbr%3E%3Cstrong%3EInvestors%3A%20%3C%2Fstrong%3EWamda%20Capital%2C%20Nuwa%20Capital%2C%20angel%20investors%3C%2Fp%3E%0A
Director: Laxman Utekar
Cast: Vicky Kaushal, Akshaye Khanna, Diana Penty, Vineet Kumar Singh, Rashmika Mandanna
Rating: 1/5
More on Quran memorisation:
Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates
UAE jiu-jitsu squad
Men: Hamad Nawad and Khalid Al Balushi (56kg), Omar Al Fadhli and Saeed Al Mazroui (62kg), Taleb Al Kirbi and Humaid Al Kaabi (69kg), Mohammed Al Qubaisi and Saud Al Hammadi (70kg), Khalfan Belhol and Mohammad Haitham Radhi (85kg), Faisal Al Ketbi and Zayed Al Kaabi (94kg)
Women: Wadima Al Yafei and Mahra Al Hanaei (49kg), Bashayer Al Matrooshi and Hessa Al Shamsi (62kg)
What sanctions would be reimposed?
Under ‘snapback’, measures imposed on Iran by the UN Security Council in six resolutions would be restored, including:
- An arms embargo
- A ban on uranium enrichment and reprocessing
- A ban on launches and other activities with ballistic missiles capable of delivering nuclear weapons, as well as ballistic missile technology transfer and technical assistance
- A targeted global asset freeze and travel ban on Iranian individuals and entities
- Authorisation for countries to inspect Iran Air Cargo and Islamic Republic of Iran Shipping Lines cargoes for banned goods
The alternatives
• Founded in 2014, Telr is a payment aggregator and gateway with an office in Silicon Oasis. It’s e-commerce entry plan costs Dh349 monthly (plus VAT). QR codes direct customers to an online payment page and merchants can generate payments through messaging apps.
• Business Bay’s Pallapay claims 40,000-plus active merchants who can invoice customers and receive payment by card. Fees range from 1.99 per cent plus Dh1 per transaction depending on payment method and location, such as online or via UAE mobile.
• Tap started in May 2013 in Kuwait, allowing Middle East businesses to bill, accept, receive and make payments online “easier, faster and smoother” via goSell and goCollect. It supports more than 10,000 merchants. Monthly fees range from US$65-100, plus card charges of 2.75-3.75 per cent and Dh1.2 per sale.
• 2checkout’s “all-in-one payment gateway and merchant account” accepts payments in 200-plus markets for 2.4-3.9 per cent, plus a Dh1.2-Dh1.8 currency conversion charge. The US provider processes online shop and mobile transactions and has 17,000-plus active digital commerce users.
• PayPal is probably the best-known online goods payment method - usually used for eBay purchases - but can be used to receive funds, providing everyone’s signed up. Costs from 2.9 per cent plus Dh1.2 per transaction.
Red flags
- Promises of high, fixed or 'guaranteed' returns.
- Unregulated structured products or complex investments often used to bypass traditional safeguards.
- Lack of clear information, vague language, no access to audited financials.
- Overseas companies targeting investors in other jurisdictions - this can make legal recovery difficult.
- Hard-selling tactics - creating urgency, offering 'exclusive' deals.
Courtesy: Carol Glynn, founder of Conscious Finance Coaching
Infiniti QX80 specs
Engine: twin-turbocharged 3.5-liter V6
Power: 450hp
Torque: 700Nm
Price: From Dh450,000, Autograph model from Dh510,000
Available: Now
Dhadak 2
Director: Shazia Iqbal
Starring: Siddhant Chaturvedi, Triptii Dimri
Rating: 1/5
How the bonus system works
The two riders are among several riders in the UAE to receive the top payment of £10,000 under the Thank You Fund of £16 million (Dh80m), which was announced in conjunction with Deliveroo's £8 billion (Dh40bn) stock market listing earlier this year.
The £10,000 (Dh50,000) payment is made to those riders who have completed the highest number of orders in each market.
There are also riders who will receive payments of £1,000 (Dh5,000) and £500 (Dh2,500).
All riders who have worked with Deliveroo for at least one year and completed 2,000 orders will receive £200 (Dh1,000), the company said when it announced the scheme.
