The promise of Apple's new mixed-reality headset isn't really about the headset

Published Mon, Jun 5 20235:42 PM EDTUpdated Mon, Jun 5 20238:48 PM EDT

Kevin Stankiewicz @in/kevin-stankiewicz-b5593466 @kevin_stank

Club holding Apple (AAPL) on Monday unveiled its long-awaited mixed-reality headset, known as Apple Vision Pro, expanding the technology giant's unrivaled hardware-and-software ecosystem into a new realm of computing. The high-end headset, priced at $3,499 and available early next year, may not be a major contributor to Apple's financial success right away – but that's no reason to dump the stock. Apple remains a company to own for the long haul. Nevertheless, shares of Apple turned lower in afternoon trading Monday, after setting an all-time high earlier in the session ahead of its annual Worldwide Developers Conference . Historically, Apple tends to underperform the broader marker on WWDC day, according to Morgan Stanley. The stock closed out Monday down 0.76%, at $179.58 a share. Of course, some investors may not be wowed by the Vision Pro. But any disappointment ought to be placed in the proper context — namely, this is just a first-generation product. After all, in 2007, the first-edition iPhone left some tech reviewers wanting more . Fast forward 16 years, and the iPhone is the heartbeat of a company worth $2.8 trillion, with a vastly more mature ecosystem than what existed when late co-founder Steve Jobs first introduced the smartphone to the world. While it's too soon to say whether the Vision Pro will be the next iPhone, it appears to be a product in line with the ethos of Apple's ecosystem of products. The details Apple is billing the Vision Pro as a new kind of computer that "seamlessly" blends the digital and physical worlds, CEO Tim Cook said Monday. Cook said the Vision Pro brings the company into the world spatial computing. Wearers of Vision Pro control the headset using their eyes to scroll, their hands to click on apps and their voice to type and search. Apple said hundreds of thousands of iPhone and iPad apps will be compatible with the Vision Pro from the outset. Vision Pro — Apple's first new major piece of hardware since the Apple Watch in 2014 — joins a fledgling field of mixed- and virtual-reality headsets. Products already on the market include Meta Platforms (META)'s Quest products and Sony's PlayStation VR2. Meta, a Club holding, on Friday debuted its Quest 3 headset , which will start at $499. "It's the first Apple product you look through and not at," Cook said during the prerecorded presentation. Bob Iger, CEO of Club holding Disney (DIS), also made an appearance to announce that its flagship streaming service, Disney+, will be available on Vision Pro from its inception. In addition to an entertainment focus that also includes video games, Apple positioned the Vision Pro as an extension of the computer screen. The company said Vision Pro can be used alongside a Mac to essentially create a much larger and more immersive display that replaces the need for multiple physical monitors. Apple said Vision Pro's technical aspects include a screen that packs more pixels per inch than a 4K television set, which allows for super high-definition imagery. The headset also features eye-tracking technology and an Optic ID system, which is essentially the equivalent of facial recognition for eyes. Cameras on the front of the headset provide the user a sense of where they are physically in the real world. Those cameras, coupled with five sensors and six microphones, are also what enable the device to be controlled with just one's eyes, hands and voice. No other input devices, such as a physical controller, are required. Other new products announced Monday included a 15-inch MacBook Air powered by its custom M2 chip. Bottom line More important than anything announced Monday, we're finally getting a glimpse of Apple's vision for this next-generation computing platform. After many years of rumors and coverage on tech blogs, it did not disappoint. The product is now in the hands of developers, who can begin experimenting and developing the software that should hopefully broaden the headset's appeal to more consumers. It's too early to tell where Apple's headset business will be in five or 10 years. But that's alright for now because Apple's presentation Monday is Vision Pro's opening scene, not the final credits. In addition to an application ecosystem that will mature over time, we expect Apple to eventually deliver more affordable headsets that increase accessibility. At the end of the day, we think we're looking at a significant new component of the Apple ecosystem and remain very excited about the company's decade ahead. That's why we again reiterate that Apple shares should be owned, not traded. (Jim Cramer's Charitable Trust is long AAPL, DIS, META. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust's portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.

Apple CEO Tim Cook speaks at an Apple special event at Apple Park in Cupertino, California on September 7, 2022. - Apple is expected to unveil the new iPhone 14. (Photo by Brittany Hosea-Small / AFP) (Photo by BRITTANY HOSEA-SMALL/AFP via Getty Images)

Brittany Hosea-small | Afp | Getty Images

The high-end headset, priced at $3,499 and available early next year, may not be a major contributor to Apple's financial success right away – but that's no reason to dump the stock. Apple remains a company to own for the long haul.