Apple’s new popular baby AR/VR headset, the Vision Pro, starts at a whopping $3,500. Yikes! But before you scoff and move on, there’s more to the story than meets the eye (pun intended). Analysts estimate the actual cost of making the headset, including all its fancy parts, is around $1,500. That means Apple’s taking a pretty hefty markup, but let’s break it down.

Both the displays – one for each eye – cost $912 together.

The priciest components are the fancy displays, one for each eye, costing around $456 each. Then come the powerful chips, one for general processing and another for handling all the camera and sensor data.

Now, here’s the catch: this is just the cost of the parts. Apple spends a lot more on research, development, marketing, and other hidden costs. Plus, it’s a relatively new product with low production volume, so the price needs to cover those initial investments.

Remember, this is just the first generation. As the technology matures and production ramps up, we could see the price drop in the future. So, is the Vision Pro worth the hefty price tag? That depends on how badly you want to experience the cutting edge of AR/VR and how deep your pockets are. The company is already charging a fair (or unfair, depending on how much you have) amount of money for replacing parts of the headset – let’s just hope the future generations of the device aren’t as hefty.

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