Apple Revamps Leadership, Preps New Vision Pro Headsets Amid Commercial Hurdles

Apple is set to introduce two new Vision Pro headsets and revamp iPadOS amid leadership changes and commercial challenges. The company reassigned Siri leadership from John Giannandrea to Mike Rockwell, leading to the dissolution of the Vision Products Group. Despite the $3,500 headset's technological capabilities, it has struggled commercially. Apple aims to address weight and cost issues in the new models while enhancing iPadOS for better productivity. These moves reflect Apple's commitment to overcoming challenges and improving user experience in a competitive market.

Apple Inc.AAPL is reportedly gearing up to introduce two new Vision Pro headsets and revamp its iPadOS. This comes amidst a major reshuffling in the company’s leadership and challenges related to the commercial success of the Vision Pro.

Bloomberg'sMark Gurman,in hislatest weekly "Power On” column, revealed that Apple has been witnessing significant internal shifts. The company recently reassigned the leadershipof Siri from AI chiefJohn Giannandrea to Mike Rockwell, who previously led the Vision Products Group (VPG).

This resulted in the dissolution of VPG, with its components being reabsorbed across the company. Rockwell now reports toCraig Federighi, the head ofall software engineering, while maintaining his previousresponsibility over software engineering forthe Vision Pro.

The first Vision Pro device, a $3,500 headset, despite its technological prowess, has not achieved commercial success. This, along with recent product cancellations and engineering issues, has raised concerns among employees about potential layoffs. The company is now reassessing its approach to the Vision Pro, contemplating whether to launch a new model or modify the product to attract more consumers.

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Despite competition from cost-effective alternatives like those offered by Meta Platforms Inc., Apple is forging ahead with the development of two new Vision Pro models. One model aims to address the current model’s weight and cost issues, while the other is expected to connect to a Mac, offering an ultra-low-latency system for streaming a user’s Mac display or connecting to high-end enterprise applications.

Apple is also planning a major overhaul of iPadOS to make the tablet more like a Mac, focusing on productivity, multitasking, and app window management. This move is in response to user feedback that the hardware capabilities of the iPad far outstrip its software.

According to Gurman, the leadership reshuffle and the planned launch of new Vision Pro models indicate Apple’s commitment to overcoming the commercial challenges faced by the Vision Pro.

The company’s decision to revamp iPadOS also reflects its responsiveness to user feedback and its dedication to enhancing user experience. These developments could potentially shape the future of Apple’s product line and its position in the competitive tech market.