Apple Inc.’s AAPL first-generation mixed-reality headset, Vision Pro, is set to release on Friday. While the headset has created a stir in the tech landscape, many are concerned about its high price point. Now Tim Cook has defended the same during the company’s first quarter 2024 earnings call.
What Happened: During the call, Cook was asked by Wamsi Mohan from Bank of America, considering that Vision Pro has a much higher price point, is there a way Apple plans to measure the success of the headset and which "Apple products' adoption curve would you look at as potentially the most similar."
In response, the Apple CEO said that every product follows its unique path and he wouldn't prefer to draw comparisons with any specific one. "We’ll see and report the results of it in the Wearables category that you’re familiar with."
See Also: Apple’s $3,500 Vision Pro Headset Worth The Hype? Tech YouTuber MKBHD Weighs In
Cook said, “I think that if you look at it from a price point of view, there’s an incredible amount of technology that’s packed into the product.”
He then went on to defend Vision Pro's $3,499 price point saying that a remarkable amount of technology is integrated into the headset, with 5,000 patents contributing to its development.
The product is "built on many innovations that Apple has spent multiple years on, from silicon to displays and significant AI and machine learning. All the hand tracking, the room mapping, all of this stuff is driven by AI," he stated.
Why It's Important: Earlier this month, Netflix Inc. co-CEO Greg Peters downplayed the significance of Vision Pro market. The streaming platform has decided not to launch apps for the device.
Nevertheless, despite the high price, Vision Pro seems to have garnered significant interest. According to Ming-Chi Kuo, an analyst at TF International Securities, Cupertino sold between 160,000 to 180,000 Vision Pro units during the first pre-order weekend.
Previously, prominent market commentator Jim Cramer weighed in on the Vision Pro's price tag and said that some might have rationalized the high cost of the headset considering it could pave the way for more affordable products of similar type.
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