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Wedbush: Apple's mixed reality headset release a 'flex the muscles moment'

Published 06/05/2023, 07:02 AM
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Investing.com -- Apple's (NASDAQ:AAPL) highly anticipated unveiling of its new "mixed reality" headset later today will serve as a "flex the muscles moment" for the tech giant, according to analysts at Wedbush.

At its annual developers conference on Monday, Apple is expected to reveal its first hardware release since the Apple Watch in 2015.

This new device will bring together augmented reality (AR), which imprints digital images on to the real world, and virtual reality (VR), which immerses users in a computer-generated simulation. Reports say the price tag for the headset, dubbed "Vision Pro," could be as high as $3,000.

Speculation surrounds the impact of the release, with observers wondering if it will spark a resurgence in interest in AR/VR technology that has been supplanted recently by a frenzy around generative artificial intelligence.

In a note to clients, the Wedbush analysts said that the headset, which spent several years in development, will likely be well-received despite the "tepid success" of a similar AR headset from Facebook-owner Meta (NASDAQ:META).

"[W]e believe Apple's [new headset] will come with many apps and use cases that will distinguish this new product within the Cupertino hardware arsenal," the analysts argued.

They added that they believe roughly 150,000 units will be initially shipped in the first year after the headset's launch.

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