Apple Estimated To Make Nearly A 100 Percent Margin On Each AR Headset Unit, As Individual Component Costs Get Revealed

Apple AR headset

Apple’s first AR headset is rumored to be priced at $3,000 when it goes on sale a few months from now, but how much is it expected to cost the company? Well, the latest data suggests that the technology giant will rake in almost 100 percent in gross margins per unit sold, though the Bill of Materials (BoM) reveals that it is going to be quite expensive to manufacture.

AR headset Bill of Materials also reveals the device’s specifications, which include Apple’s M2 SoC

A Twitter post from Brad Lynch that was spotted by XRDailyNews states that Apple’s AR headset’s Bill of Materials will be in the $1,500-$1,600 range, though when we looked at the breakdown total, we spotted an amount of $1,509. The estimates were seen through a Chinese report, which, thankfully, also provided the expected specifications of the mixed-reality headset.

Looking at these figures, Apple’s gross margins will be almost 100 percent, but if we add other costs such as R&D, marketing, and different variables, the company’s net margin could be significantly lower. Now, it is no secret that Apple charges its customers a premium, which allows the firm to rake in billions each quarter, but it is also a matter of selling products in the millions.

However, the report states that the AR headset will only ship between 400,000-500,000 units in the year’s second half. Going by these estimates and doing the math, Apple would only make $1.5 billion with the headset launch, meaning it will not be considered a commercial success compared to the company’s other products. Coming to the individual components, the most expensive of them all will no doubt be the microLED panels, which are estimated to cost $280-$320.

Here are the estimated component costs of the AR headset

The second-most expensive component, or components, is the 14-lens camera arrangement, which costs $160. The two chipsets sourced from TSMC are expected to set Apple back by $120-$140 apiece. Coming to the specifications, we get to know that the AR headset will feature the M2, though we do not have any information on the secondary SoC. Other information mentions that the device will tout 12GB RAM, and 512GB of SSD, paired with Bluetooth 5.3 and Wi-Fi 6.

The lack of shipments for the AR headset could be one reason for that $1,500-$1,600 BoM total, meaning that if it was purely a volume game, Apple could bring down that pricing by a fair margin. As it so happens, the California-based giant has a plan for that, and it involves launching a significantly cheaper successor in 2025 that will be sold alongside a more premium version of the AR headset. We expect to see a preview of the first iteration at WWDC, and as always, we will provide our readers with more information, so stay tuned.

Written by Omar Sohail


Refference- https://wccftech.com

Post a Comment

0 Comments