In a recent report by Ming-Chi Kuo from KGI Securities, Apple has unveiled ambitious plans for its augmented reality (AR) and virtual reality (VR) product line, targeting significant releases in 2027. This includes an upgraded Vision Pro headset scheduled to launch later this year. Currently, Apple is developing three Vision series products and four pairs of smart glasses, emphasizing its commitment to entering the AR/VR market robustly. A Ray-Ban-style smart product is projected to achieve shipments of 3-5 million units by 2027, with Apple aiming to distribute over 10 million AR/VR devices in that year alone—signifying its belief that this sector will become a key consumer technology category.
In addition to these developments, Apple will introduce the Vision Pro M5 Version, which will be enhanced through a shift from the M2 chip to more potent components. Looking ahead to 2027, the company plans to release a lighter version, dubbed the Vision Air, boasting a 40% reduction in weight and utilizing the latest iPhone processor. Moreover, a second-generation Vision Pro is slated for 2028, featuring a significantly lighter and more affordable design. Apple’s approach also includes smart glasses, with a displayless frame expected in 2027, and extended reality (XR) glasses equipped with a see-through color display and AI connectivity anticipated in 2028. Notably, Apple has yet to comment officially on these insights.
The global smart glasses market is on a notable trajectory, moving from a valuation of $1.93 billion in 2024 to an anticipated $8.26 billion by 2030, as reported by Grand View Research. This growth has attracted attention from various major technology companies, eager to establish a foothold in the next generation of wearable technology. Meta has been quite active, promoting its Orion prototype alongside its Ray-Ban and Oakley-branded smart glasses, which feature transparent displays for real-time information projection. Google has also made strides with the unveiling of its Android XR AR and VR platform and collaborative smart glasses developed with Qualcomm and Samsung.
Nvidia is contributing to this technological race by developing AI models designed to enhance the smart glasses experience. In this competitive landscape, Meta appears to be in a precarious position; lacking its own phone or computing platform, it risks becoming reliant on the policies of major players like Apple and Microsoft. However, successfully penetrating the AR and VR space could allow Meta to create a comprehensive hardware and software ecosystem for smart glasses, potentially shifting the balance of power in this industry.
Conversely, Apple’s entry into the AR/VR market carries with it the potential for significant disruption. The company’s strong brand loyalty gives it a competitive edge, positioning it as a formidable rival to Meta, which currently leads the market with sales of around two million Ray-Ban Meta glasses and 20 million units of its Quest VR headset. The implications of Apple’s strategies will resonate throughout the industry as it seeks not only to innovate its existing lineup but to redefine the way consumers interact with technology.
In summary, Apple’s forthcoming ventures in AR and VR, highlighted by ambitious product launches, underscore its intent to become a dominant force in wearable technology. With a focus on lighter, more affordable, and innovative designs, Apple aims to capture a significant share of a growing market. As the landscape evolves with contributions from various tech giants, the competitive dynamics will only intensify, challenging existing market leaders and reshaping consumer expectations in the realm of augmented and virtual reality.
