Apple Reportedly Lays Off Vision Pro Staff As Smart Glasses Take Priority – Ternus CEO Transition Nears
Yahoo Finance ·
Apple has reportedly laid off about 60 workers associated with VR development, Apple Insider reported.The move comes as Apple’s Vision Pro has struggled to gain broad consumer traction since its launch in February 2024AAPL shares declined 1.8% on Thursday and rose marginally in overnight trading. Apple has reportedly laid off at least 60 employees working on its virtual reality (VR) efforts, signaling a pullback from the Vision Pro headset category as the company prepares for a leadership transition next month.According to AppleInsider, the layoffs affected employees across Apple’s Vision Group and other VR-related positions. The team has not been completely disbanded, but the cuts suggest Apple is scaling back its focus on the headset as it prioritizes artificial intelligence, Siri and lighter-weight smart glasses.AAPL shares declined 1.8% on Thursday and rose marginally in overnight trading. On Stocktwits, the retail sentiment for the stock was ‘bearish.’Vision Pro Struggles To Break Into The MainstreamThe move comes as the Vision Pro has struggled to gain broad consumer traction since its February 2024 launch. The $3,499 headset was positioned as a major new computing platform for Apple, but its high price, heavy design and limited initial developer support have remained significant barriers to adoption.Sales have reportedly been modest, with estimates suggesting Apple has sold only a fraction of the units needed to establish Vision Pro as a mainstream product.Customer reception has also been mixed. While users and reviewers have generally praised the headset’s displays, spatial computing capabilities and immersive experience, its weight, high price and lack of compelling everyday applications have limited its appeal beyond early adopters and enthusiasts.Apple Betting On Smart Glasses?Apple has continued developing visionOS and future versions of the headset, suggesting the company has not abandoned Vision Pro entirely. However, the latest layoffs indicate that Apple may be shifting its longer-term ambitions toward smart glasses, which could eventually deliver augmented-reality features in a much lighter form factor.Meta Platforms has built an early lead in smart glasses through its Ray-Ban Meta lineup. The company has sold millions of pairs and expanded the portfolio with Oakley Meta, giving it a significant head start as Big Tech rivals race to establish themselves in the category.Apple is expected to debut its smart glasses at WWDC 2027.Apple's Ternus Era Begins Sept. 1The reported restructuring also comes just days before John Ternus takes over as Apple’s CEO on Sept. 1, succeeding Tim Cook. Ternus, who currently leads Apple’s hardware engineering, is expected to have significant influence over the company’s product priorities.For now, the layoffs appear to represent a cooling of Apple’s VR ambitions rather than an outright cancellation of Vision Pro, with resources increasingly directed toward products that Apple believes can achieve broader consumer adoption, according to the Apple Insider report. For updates and corrections, email newsroom[at]stocktwits[dot]com.Read Next: OpenAI Rolls Out Deeper Integration With Apple’s Macs: ChatGPT Can Now Read, Draft And Send IMessages
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