Layoffs in Apple’s Vision Products Group reduce VR staff

A source has exclusively revealed to us that Apple has just laid off a significant number of people dedicated to VR development, which aligns with incoming CEO John Ternus reportedly putting the category “on ice.”

Apple Vision Pro was a necessary product launched to let Apple develop visionOS in public. The category is expected to eventually result in a set of full AR glasses we’ve dubbed Apple Glass.

According to a reliable source speaking to AppleInsider, Apple has laid off an unknown but significant number of employees tied to Apple’s VR team, the Apple Vision Group, and similar positions. We’ve heard this tale before, and while this doesn’t mean the end of Apple Vision Group, it is a sign of a cooling off for that category.

Apple Vision Pro arrived with a high price tag and a high barrier to entry with its heavy design and limited developer support. In the years since, Apple hasn’t done much to move the needle, though it isn’t clear if it needs to.

Apple Vision Pro isn’t dead, yet

With component pricing increasing as it has been, Apple had to raise the already high price of the Apple Vision Pro. If the device was out of reach before, it most certainly is now.

Combine that with the fact that consumers are looking to smart glasses as the near future, not heavy VR headsets, and you’ve got the perfect storm. The technology either doesn’t exist or is too expensive to make a thinner, lighter model that’s more affordable.

Rather than have a product group sitting on its hands, restructuring has occurred in recent months within Apple. The priority is on Siri AI and smart glasses, not a headset that can’t feasibly be built today.

We have some information about the layoffs that we’d like to confirm before we talk about it more, but for now, it seems the team hasn’t been totally disbanded. Expect Apple to continue work on Apple Vision Pro, its future iterations, and smart glasses running visionOS.

However, the team dedicated to VR has shrunk in light of the difficulties. It is highly unlikely that John Ternus plans to kill the product line entirely, but downsizing the team and focusing on the smart glasses makes sense for now.

This news will undoubtedly lead to speculation around Apple having abandoned the Apple Vision Pro. Given that we just got visionOS 27 in June and Apple’s work on future iterations is still ongoing, that doesn’t seem to be the case.