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Apple said to be working a high-priced standalone VR headset as debut mixed reality product

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Apple is reportedly working on developing a high-end virtual reality headset for a potential sales debut in 2022, per a new Bloomberg report. The headset would include its own built-in processors and power supply, and could feature a chip even more powerful than the M1 Apple Silicon processor that the company currently ships on its MacBook Air and 13-inch MacBook Pro, according to the report’s sources.

As is typical for a report this far out from a target launch date, Bloomberg offers a caveat that these plans could be changed or cancelled altogether. Apple undoubtedly kills a lot of its projects before they ever see the light of day, even in cases where they include a lot of time and capital investment. And the headset will reportedly cost even more than some of the current higher-priced VR headset offerings on the market, which can range up to nearly $1,000, with the intent of selling it initially as a low-volume niche device aimed at specialist customers – kind of like the Mac Pro and Pro Display XDR that Apple currently sells.

The headset will reportedly focus mostly on VR, but will also include some augmented reality features, in a limited capacity, for overlaying visuals on real world views fed in by external cameras. This differs from prior reports that suggested Apple was pursuing consumer AR smart glasses as its likely first headset product in the mixed reality category for consumer distribution. Bloomberg reports that while this VR headset is at a late prototype stage of development, its AR glasses are much earlier in the design process and could follow the VR headset introduction by at least a year or more.

The strategy here appears to be creating a high-tech, high-performance and high-priced device that will only ever sell in small volume, but that will help it begin to develop efficiencies and lower the production costs of technologies involved, in order to pave the way for more mass-market devices later.

The report suggests the product could be roughly the same size as the Oculus Quest, with a fabric exterior to help reduce weight. The external cameras could also be used for environment and hand tracking, and there is the possibility that it will debut with its own App Store designed for VR content.

Virtual reality is still a nascent category even as measured by the most successful products currently available in the market, the Oculus Quest and the PlayStation VR. But Facebook at least seems to see a lot of long-term value in continuing to invest in and iterate its VR product, and Apple’s view could be similar. The company has already put a lot of focus and technical development effort into AR on the iPhone, and CEO Tim Cook has expressed a lot of optimism about AR’s future in a number of interviews.

What do you think?

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