Apple Pivots to Smart Glasses, Putting Budget Mixed-Reality Headset on Hold

In the coming days, Apple is set to announce a range of new devices, including updated iPad Pro and MacBook Pro models. Rather than a traditional launch event, the new products are expected to be unveiled via a press release. The key update will be a move to the new M5 processor platform—a routine refresh for the lineup aimed at boosting sales ahead of the holiday season.

Alongside these technical announcements, Apple is undergoing strategic changes. Insiders report that the company is re-evaluating its approach to mixed reality. Instead of developing a lighter, more affordable version of the Vision Pro headset—often referred to by the codename "Vision Air"—Apple is now concentrating its efforts on creating smart glasses.

Industry experts suggest that a closed-headset like the Vision Pro will remain a niche product due to its high price and limited use cases. Smart glasses, in turn, are seen as a more promising direction. Unlike a headset, this format can seamlessly integrate into daily life. Features like displaying notifications, answering calls, and recording video hands-free hold much broader consumer appeal.

These strategic moves within the company are accompanied by structural changes. Amid the upcoming retirement of Jeff Williams, one of its key executives, the teams responsible for health and fitness services have been moved under Eddy Cue, who oversees all digital businesses. This signals Apple's intent to boost monetization of the health segment through subscription services.

The announcement of the new M5-powered products is just the tip of the iceberg. Behind the scenes, Apple is conducting a major realignment, striving to find a new mass-market product category that can replicate the success of the iPhone or Apple Watch—and the company is placing its bet on smart glasses.