Apple is preparing to release two high-end and low-end models of its second-generation AR/VR headset, according to Ming-Chi Kuo, a trusted Apple industry analyst. The cheaper version is being developed by Foxconn and will be available for purchase at a price point in line with “a high-end Mac computer.” This comes as a report claimed that the company’s manufacturing partner is already working on the cheaper headset, while Apple’s first headset, expected to be unveiled at the Worldwide Developers Conference in June, will cost anywhere between $3,000 to $5,000.

Kuo’s latest survey findings and predictions suggest that Pegatron is gradually withdrawing from Apple’s headset business and will transfer its AR/MR development team and production resources to Luxcaseict in the first half of 2023. This means that Luxshare ICT will take over the design and production of the high-end version of the second-generation headset. According to Kuo, these changes will lead to a reduction in the cost of the headset, which is what Apple intends.

The cheaper version of the headset will use more affordable components, such as lower-resolution lenses, while the high-end version will reportedly have advanced features such as over a dozen cameras, dual 4K lenses, and advanced eye and hand tracking. The device is expected to have an iOS-like interface with a grid of apps.

Apple’s long-rumored AR/VR headset will likely arrive in 2025. The two-tiered series of the second-generation device is intended to appeal to a wider customer base, similar to how Apple offers both standard and more premium Pro-branded iPhones each year. The launch schedule for both models is yet to be announced.

Kuo’s latest report highlights the progress made by Apple in the AR/VR headset space. The company’s release of a cheaper version of the headset will be a significant milestone in the development of the technology, as it will enable more users to have access to it.