Apple has recently overhauled its virtual reality (VR) strategy by disbanding its dedicated VR research and development team and laying off at least 60 technical experts. While the company has not formally announced the complete dissolution of the team, this development suggests a notable shift in priorities, with some affected employees potentially transitioning to other departments within Apple.

Over the past six months, Apple has embarked on an organizational restructuring initiative, reallocating resources toward enhancing its Siri artificial intelligence platform and advancing its smart glasses technology. Apple’s leadership believes that significant breakthroughs in the VR space are currently challenging to achieve with bulky headsets. Instead, lightweight augmented reality (AR) glasses are seen as a better fit for Apple’s long-term vision, aligning with broader industry trends.

Industry analysts observe that Apple’s strategic adjustment signals its intention to position AR glasses as its next flagship product, tentatively dubbed “Apple Glass” by external observers. This anticipated device is expected to incorporate advanced features such as eye-tracking technology and leverage wireless connectivity with the iPhone for processing power. However, the specifics of its development progress and official launch date remain unclear.

Apple has been quietly collaborating with several optical component manufacturers to address key challenges in waveguide display technology—a critical component for achieving the lightweight design of AR glasses. Despite these efforts, achieving consistent yields in mass production remains a hurdle.

Market expectations indicate that, even upon release, Apple is likely to maintain its premium pricing approach, setting its AR glasses apart from more affordable consumer-grade VR alternatives. This strategy underscores Apple’s commitment to delivering high-quality, innovative products that cater to its core customer base.