How Apple’s First Headset Will Benefit Meta’s Market Share

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According to Mark Gurman of Bloomberg, Apple is going to control the high-end AR / VR head display industry. However, the launch of the first Apple head display will provide Meta with a chance to profit from it. Gurman thinks that after Apple releases its first headset, the AR/VR headset industry will explode. However, most people find it hard to pay the steep price of $3,000. Therefore, this year’s sales volume ought to be less than 100,000 units. Also, the total revenue is likely to be less than $3 billion, according to a previous forecast by TrendForce.

Gurman also predicts that despite Apple’s first headset’s modest sales volume, buyers will become keen on AR/VR due to its environmental benefits. Apple is then going to have control over pricey AR/VR headsets like the iPhone. Gurman also made the point that users who can not buy Apple headsets may move to cheaper products from brands like Meta, increasing Meta’s market share.

An excerpt from Mark Gurman’s blog reads

Apple will dominate the high-end headset market that costs more than $2,000, while Meta dominates the low-to-mid-priced headset market. Apple’s popularization of headsets will benefit Meta, and many users who cannot buy Apple headsets will choose to buy Meta products.

In simple terms, Gurman is saying that while Apple will popularize the AR / VR headsets, it will only focus on the high-end market because it is pricey. However, there will always be people who will not have up to $3000 for a headset. This set of buyers will have no option but to search for cheaper alternatives.

Meta is working on a couple of high-end VR headsets. According to Meta, its new VR headset will come with some updates to meet the requirements of the current development state of the Metaverse. However, these devices will probably be cheaper than Apple’s VR headsets.