Apple’s Reality Pro headset may have a price significantly below the speculated $3,000 mark. The estimated bill of materials stands at around $1,500, according to reports.
One enduring rumor surrounding Apple’s forthcoming AR headset revolves around its price tag. Since the first murmurs about it emerged, various reports have suggested a manufacturer’s suggested retail price (MSRP) of $3,000 or more, potentially making it one of Apple’s most expensive non-Mac devices in its history. However, a recent report indicates that the actual price could be considerably lower.
As per XRDailyNews, sources from the supply chain in China have corroborated that Apple’s headset will require approximately $1,500 for production. This figure encompasses several top-tier components, each of which costs over $150. While the site acknowledges that certain terms might not align precisely with their conventional meanings, multiple sources have affirmed the overall cost.
Breakdown of costs:
- Dual M2 processors: $120-$140
- Two micro OLED screens: $280-$320
- 14 cameras: $160
- Optical-mechanical lens system and assembly: $70-$80
- Rearview mirror: $13-$15
- Pupillary distance adjustment module: $30-$35
- 3D sensor part: $80-$90
- Metal middle frame: $95
- Appearance parts: $15-$20
- External battery pack: $22-$25
- Microphone: $21-$22
- Speakers: $16-$18
- PCB+FPC: $40-$45
- Storage: $40-$45
- WiFi/Bluetooth/etc.: $60-$70
- Cooling module: $70
- Auxiliary accessories: $30-$40
The total amount comes to approximately $1,500. It is important to note that the bill of materials does not encompass the entire cost, which also includes production, shipping, distribution, and other factors. Nevertheless, it does indicate that the AR headset will be a highly sophisticated and upscale device. By way of comparison, the Meta Quest 2 reportedly costs around $750 to manufacture.
Now, let’s do some calculations. Apple spends roughly $475 to produce the iPhone 14 Pro Max, which retails for $1,100. Assuming a gross margin of 40 percent, additional costs amount to approximately $185, which should not be substantially higher for the headset. Even if we add $250 per unit, the total price would reach $1,750. Considering Apple’s 40 percent gross margins, the MSRP would hover around $3,000.
However, a recent Bloomberg report suggests that Apple might sell the headset at cost or even consider selling it at a loss to boost sales. This implies that the headset could potentially be priced as low as $1,999, which would appear quite reasonable compared to the earlier speculation of a $2,999 price point.
We can expect to find out in a matter of weeks, as the WWDC keynote is scheduled for June 5, just two weeks from this Monday.
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