Apple (AAPL) unveiled its highly-anticipated mixed reality headset this week in what could be the tech giant's most important product launch in nearly a decade.
The launch, while briefly lifted Apple shares to an all-time high that valued the group at just under $3 trillion, looks set to redefine both consumer and investor perceptions of the metaverse.
"This marks a new era for Apple being the first new product line in almost a decade and the first 3-D interface for the company that has many use cases and apps within the Cupertino ecosystem that should distinguish the Vision Pro from the competition such as the Meta Quest," said Wedbush analyst Dan Ives. "Given the high price points, we believe initial shipments are expected to be roughly 150,000 units for Year 1 and roughly a 1 million units in Year 2 at lower price points."
But the Apple Vision Pro, which will cost $3,499, also has the potential to impact the stocks of at least eight different companies, from chipmakers to content creators to retailers, as the headset makes its way from an impressive debut at the group's Worldwide Developers Conference and into the broader -- and developing -- AR/VR marketplace.
Apple CEO Tim Cook called the Vision Pro "the first Apple product you look through and not at" as he touted the headset's potential during his keynote address to the WWDC on Monday, which gives us a chance to 'look through' the impact of the group's boldest product launch on a series of companies that stand to benefit -- or lose -- from its upcoming consumer launch.
1. Unity Software
Unity Software (U), a San Francisco-based tech group that works with video game developers, will help Apple bring its various apps into the new Vison Pro headsets, as well as it broader ecosystem, and received a notable shout-out from Cook during his WWDC address.
"Although developers will have over six months to create applications for the Vision Pro, there’s already thousands of Unity-based VR games that will be supported at launch giving those developers rare early access to a brand-new audience ahead of what we view as an emerging XR development 'gold-rush'," said D.A. Davidson analyst France Grana.
Unity, the dominant tech firm in the VR development space via its Unity Engine, saw its shares surged 17.16% yesterday -- the biggest single-day gain in seven months -- and were marked 3% higher in pre-market trading on Tuesday.
2. Roblox Corp.
Roblox (RBLX), the world's biggest gaming platform, is the metaverse leader in terms of creating and operating the kinds of social interactions that will ultimately be part of the Vision Pro experience.
Roblox, which is already available on Meta Platforms' (META) Quest headsets, is also looking to increase the average age of its user base, as well as the time and money spent on its platform, goals that are likely to be assisted by the addition of Vision Pro.
Roblox's shares were marked 0.3% higher in pre-market trading at $40.91 each.
3. Best Buy Co.
Best Buy (BBY) remains Apple's favored resale partner, with the tech giant contributing around 15%, or $5 billion a year, to the electronics retailer's overall sales.
D.A. Davidson analyst Michael Baker notes that, while Apple plans to first sell the Vision Pro exclusively, it will ultimately find its way onto Best Buy shelves over the coming quarters.
AR/VR headsets like the Vision Pro would fall within Best Buy's 'Entertainment; category, which in FY2022 accounted for 6% of sales," Baker said. "Thus, AR/VR is likely a low single digit percent of sales."
Best Buy shares were little-changed in pre-market trading at $72.80 each.
4. Walt Disney
Disney (DIS) CEO Bob Iger appeared on stage at the Apple Campus in Cupertino, California Monday to tout the entertainment group's new partnership, highlighting its importance to a company struggling to convince shareholders of its new profit-focused direction.
Apple said the Vision Pro will run Disney+ programs alongside Apple TV content, a move that analyst at Needham suggest could be the precursor to an all-out takeover of the House of Mouse, which is currently valued at $166 billion and would be a "compelling strategic fit" between Apple's wearable technology and Disney's content.
"At $3,500, we expect (Vision Pro) adoption to be slow," Needham said. "However, if Apple buys Disney, its storytellers could create unique content to drive consumer adoption of Apple's Vision Pro goggles."
Disney shares were marked 0.5% higher in pre-market trading at $91.44 each.
5. Adobe Inc.
Apple will use both Microsoft's (MSFT) Office suite of products and apps from Adobe Inc. (ADBE) in the Vision Pro headset, a much-needed boost for the San Jose, California-based tech group's efforts to move further into cloud design.
Adobe, which unveiled plans to buy privately-held design startup Figma last year, is attempting to push the $20 billion deal past both the U.S. Department of Justice and the U.K.'s Competition and Markets Authority.
Apple plans to use Adobe's Lightroom app, which will allow for photo editing controlled by your eyes and hands, into the Vision Pro headset.
Apple also demonstrated Microsoft's Teams, Excel and Word programs during its Vision Pro launch, again with a retinal-controlled focus, and noted that 3D personas will be included and supports in the Teams architecture.
Adobe shares were marked 0.4% higher at $4535.83 each while Microsoft shares edged 0.01% higher to $335.98 each.
