According to TF Securities analyst Ming-Chi Kuo, the lower-cost Vision Pro has been postponed, potentially until beyond 2027. Instead, Apple will reportedly introduce an updated Vision Pro model in 2025, equipped with the next-gen M5 processor. The current Vision Pro, originally launched with the M2 chip, already boasts a high price tag of $3,499, targeting early adopters and tech enthusiasts. However, the delay of a less expensive model signals a larger dilemma: price alone may not be enough to attract a broader audience to Apple’s mixed-reality vision.

Kuo notes Apple’s reluctance to rush a cheaper Vision Pro stems from a lack of substantial use cases. Simply reducing the price, he argues, isn’t enough to make the device compelling to a mainstream audience. Apple’s decision mirrors the challenges faced by the HomePod and HomePod mini, where even a lower-priced variant didn’t drive smart speaker adoption as hoped. A budget Vision Pro, while likely to feature downgraded hardware, such as an A-series chipset and lower display resolution, won’t enter the market until Apple identifies compelling applications that justify the investment for typical consumers.

Apple’s approach may pivot toward offering a more affordable device that offloads processing tasks to an iPhone, making the headset an accessory rather than a standalone powerhouse. Bloomberg’s Mark Gurman echoes Kuo’s sentiments, indicating Apple’s exploration of a lightweight, glasses-style headset that leverages iPhone connectivity for processing. Such a design would position the iPhone at the heart of Apple’s ecosystem, expanding accessibility without necessitating an all-in-one device.

Despite the delay of a budget model, Apple isn’t abandoning its Vision Pro roadmap. The planned M5 upgrade for 2025 promises enhanced processing power, possibly integrating Apple Intelligence and spatial computing improvements. However, as with the current model, the M5-powered Vision Pro is expected to remain premium-priced. Apple’s focus appears to be on refining the technology and ecosystem around its headset while continuing to work on visionOS, which recently gained new features like Travel Mode and Mac Virtual Display integration to enhance its functionality.

CEO Tim Cook’s perspective on Vision Pro, which he has acknowledged as an “early adopter product,” suggests that Apple is still navigating the long game with its mixed-reality lineup. With substantial research and development invested, Apple is taking measured steps to ensure that future releases have the ecosystem, software, and use cases to support long-term growth.

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