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Shares of Apple’s suppliers are sliding in Hong Kong, with Cowell, which provides camera modules for Vision Pro, crashed as much as 24% before paring the loss to 14%. In China’s A-share market, Shenzhen Everwin Precision tumbled nearly 18% in the morning session on Tuesday, Luxshare Precision Industry and Goertek down more than 5%.
Apple on Monday unveiled the Vision Pro, an AR headset device priced high as high as $3,499, causing investors to be skeptical about market demand for the device. After the launch, Apple shares hit a new record high before closing lower and falling 2.4% to $179.12 in after-hours.
According to Ming-Chi Kuo, an analyst at TF International Securities, Apple’s Vision Pro has failed to convince investors in two aspects: at first, the price is higher than expected and there is a wait time of more than six months, which is expected to hurt investors’ sentiment in the short term, and secondly, Apple has demonstrated a vision for spatial computing and design innovation for AR/MR devices, but has not demonstrated the need to use Vision Pro in everyday life, in contrast to ChatGPT or AIGC (Artificial Intelligence Generated Content) which is is now more compelling in terms of changing human lives in the foreseeable future.
He added that investors will need to watch closely for pre-order demand for Vision Pro and whether Apple can provide more compelling apps, content or ecology before launch.
