![Apple could generate $4 billion in revenue from Vision Pro sales by 2027 - Morgan Stanley](https://i-invdn-com.investing.com/news/LYNXNPEA9F0Z3_L.jpg)
© Reuters. Apple may generate $4 billion in income from Vision Pro gross sales by 2027 – analyst
In a notice launched Friday, Morgan Stanley analysts launched a conservative prediction that Apple (NASDAQ:)’s Vision Pro VR headset may generate $4 billion in income by fiscal yr (FY) 2027.
However, if it achieves a 1% penetration of the present iPhone person base inside 5 years, revenues may soar to $40 billion, the analysts added.
“Topdown, we’ve previously sized Vision Pro as a $20-70B opportunity by 2030, but that forecast is a bit aged and we prefer to think about adoption of the Vision Pro compared to the Apple Watch or AirPods – i.e. peripheral devices,” analysts mentioned.
If Vision Pro follows the same adoption trajectory, the dealer anticipates $8-15 billion in income over the subsequent 5 years, equating to 2-4 million models offered yearly.
This accounts for 0.2-0.3% of the worldwide iPhone person base, reflecting Vision Pro’s increased worth and restricted distribution, in accordance with Morgan Stanley’s forecast.
A extra optimistic state of affairs, the place Vision Pro and its subsequent variations obtain a 1% development within the iPhone person base (round 12 shipments) in 5 years, would “imply nearly $40B of revenue in 5 years, bigger than the iPad, Mac, and Wearables businesses today,” they added.
Morgan Stanley has lately revised their forecasts for Apple’s Vision Pro upwards by 35-80% over the subsequent three years. This adjustment stems from two key observations, together with the better-than-expected provide of the gadget and an anticipated enhance within the common promoting worth (ASP) because of the introduction of recent storage choices that turned evident on the pre-order day.
“For FY24, we now model 350K units (up from 250K previously) and a ~$3,600 ASP, which translates to $1.3B of revenue and implies the Vision Pro represents 0.3% of total revenue in FY24, immaterial in the scheme of things,” the crew mentioned.