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Rumor: Apple postpones AR glasses project indefinitely, begins planning a lower-cost headset for 2024

Per the mighty Mark Gurman, Apple has apparently indefinitely postponed its standalone augmented reality (AR) glasses. The company, in turn, is said to be planning a lower cost mixed-reality headset for 2024 as a follow-up to the first version that was slated for this year according to sources familiar with the story.

The change in plans underscores the various challenges Apple faces in entering the new industry. The company is betting that AR and VR devices could be a major moneymaker, but the technical challenges of producing a consumer-friendly product has bedeviled much of the tech world.

At present, Facebook owner Meta Platforms Inc. currently dominates the virtual reality (VR) headset market and offers an immersive experience in which customers can wear them to play video games, communicate in virtual meeting rooms and watch video. AR glasses, in contrast, overlay visuals and information on real-world views. The thought seems to be that these would be worn as a more casual headset over the course of a normal day.

High cost also could make an Apple headset more of a niche product. The initial mixed-reality device due this year will cost around $3,000. The hefty price stems from its use of advanced and high-resolution displays, more than 10 cameras, sensors to determine where a user is looking, and both a Mac-grade M2 processor and a dedicated chip for handling AR and VR visuals.

A series of trademark filings made by Apple hint that the company may be pursuing a dual device strategy. The documents have included the names “Reality Pro” and “Reality One.” The Pro name is likely for the initial model, while the “One” suffix could be under consideration for the cheaper version. There also is a trademark filing for “Reality Processor,” hinting at the name for the dedicated chip.

Apple is apparently focusing on a lower-cost headset as opposed to the full AR glasses. At one point, Apple aimed to release the glasses in 2023, before delaying the launch until around 2025. Now, Apple has postponed the rollout indefinitely and pared back its work on the AR device.

An Apple spokesperson declined to comment as to the company’s plans.

Apple could ultimately develop a less bulky AR device, but finding and building the right chips, batteries, software, and manufacturing process to create a lightweight product that can last all day isn’t on the horizon yet. Apple’s first high-end headset has been said to last about two hours on one charge. A phone, in contrast, can usually last the whole day or longer.

Stay tuned for additional details as they become available.

Via @markgurman, Bloomberg, and The Information