Apple Inc is expected to announce its first mixed-reality headset at the annual software developer conference on Monday, marking the company’s first major foray into a new product category since the Apple Watch debuted nine years ago.
The introduction of the headset will place Apple in direct competition with Facebook-owned Meta Platforms in an expanding market filled with devices that have yet to gain significant consumer adoption.
Apple’s device, akin to Meta’s Quest Pro and the recently unveiled Quest 3, is predicted to merge a video feed from the user’s surroundings with a virtual environment displayed on screens inside the headset. Analysts anticipate that Apple’s headset will offer premium features, such as a high-quality display and hand-tracking capabilities, allowing control without external controllers. Nevertheless, it is expected to come with a price tag higher than the planned $500.
Investors and tech enthusiasts are keen to see how Apple’s vision of the virtual reality market aligns with that of Meta. Meta CEO Mark Zuckerberg has previously outlined his vision for using headsets to access a “metaverse,” where users can work, play, and spend virtually.
Apple’s new headset will compete with other market players, including recent virtual reality device launches from Sony Group Corp (6758.T) and ByteDance-owned Pico. Research firm IDC reports that companies sold a total of 8.8 million headsets in 2022, marking a 20.9% decrease from 2021. In the first quarter of 2023, sales fell by more than half.
Scheduled for 1 p.m. Eastern Time (1700 GMT) on Monday at Apple Park, the presentation aims to inspire the thousands of software developers attending the conference. Alongside the mixed-reality headset, Apple intends to provide updates on its operating systems for iPhones, iPads, and Mac computers.
Investors will also be on the lookout for updates on CarPlay, Apple’s software for vehicles. The company announced last year that CarPlay would begin handling additional dashboard functions.
