Apple Slashes Over 200 Jobs Across Siri and Vision Pro Teams in Strategic AI Pivot

Apple is chopping down the team behind the Vision Pro, its long-suffering mixed-reality headset, while eliminating positions across several other teams in a significant strategic realignment. Over 200 positions have been cut across the company, with approximately half coming from the Vision Pro division and the remainder from Siri and related software engineering units. The job cuts represent one of Apple's most substantial workforce reductions in recent years and signal a dramatic shift in the company's product priorities as it races to catch up in the artificial intelligence race.

Inside the Vision Pro Cuts

Within the Vision Pro organization, the cuts are particularly sweeping. Apple is largely shutting down an entire team dedicated to developing gaming features for the mixed-reality headset. The company is also significantly scaling back its internal immersive video production unit, a team responsible for creating the 3D content that was marketed as one of Vision Pro's flagship features.

The decision to scale back immersive content production reflects the harsh economics of the medium. Producing 3D immersive video has proven financially challenging, with single episodes costing millions of dollars and requiring multiple production crews. Given Vision Pro's relatively small user base, the return on investment simply hasn't justified the expense.

Despite these cuts, Apple has assured employees that the Vision Pro hardware line and visionOS operating system are not going away. The company is still considering a new Vision Pro model for release as early as the end of 2028. However, near-term hardware priorities have pivoted decisively toward developing smart glasses that would not support immersive video or advanced gaming titles.

The Siri AI Overhaul

On the software side, Apple has cut approximately 100 positions from its Siri and Intelligent Systems Experience teams. These cuts are directly tied to the launch of Siri AI, Apple's completely revamped, AI-powered version of its voice assistant.

Bloomberg reports that Siri AI is built on a completely revised technical architecture, which changes the necessary expertise required for the Siri team. Apple has therefore decided to "eliminate a small number of existing roles, reallocate resources and create new positions supporting the updated Siri".

The Intelligent Systems Experience team, responsible for integrating AI functions into Apple's apps, features, and services, is also undergoing similar restructuring. As more groups bring AI capabilities to their products, Apple is realigning teams to match priorities and accelerate development.

A Difficult Transition Period

Apple is currently enduring a bumpy period of transition. The company has been playing catch-up in the AI race, with its revamped Siri assistant delayed multiple times and still not available in key markets like the European Union and China. CEO Tim Cook has acknowledged that Apple is "two years late to AI", and the company has faced significant challenges integrating generative AI capabilities into its ecosystem.

Adding to the pressure, a global memory shortage spurred by the AI buildout has driven up the cost of producing Apple's flagship products. The company raised prices on Macs and iPads earlier this summer and recently introduced a leasing plan for all of its major hardware products in an effort to offset new costs and attract a broader array of customers.

Apple is also currently suing OpenAI, which it has accused of trade theft, adding another layer of complexity to its AI ambitions.

The Vision Pro's Struggle

The Vision Pro cuts come as little surprise to industry watchers. Since its launch in February 2024 at a starting price of $3,499 (now $3,699), the headset has struggled to gain widespread consumer adoption. Reports indicate that global cumulative sales have reached only about 600,000 units, making it one of Apple's worst-performing hardware products in recent memory.

The device's premium price, physical weight, and limited content ecosystem have kept it from reaching the mainstream. Return rates have been unusually high compared to other Apple products, and the company has already cut production and scaled back marketing efforts.

Apple's vice president overseeing the Vision Pro recently departed for OpenAI, and reports suggest that teams have been reassigned from Vision Pro projects to work on the company's anticipated augmented reality glasses.

A Broader Industry Trend

Apple's job cuts reflect a broader trend sweeping the tech industry. Since the beginning of 2026, US tech companies have slashed nearly 140,000 jobs, with companies increasingly citing AI as a factor in the reductions. Meta, Microsoft, Amazon, and Cloudflare have all reported increased revenue alongside massive layoffs, attributing both trends to their use of AI.

However, Apple's latest round of layoffs does not appear to be driven by AI automation or AI data center buildouts. Instead, the cuts reflect a strategic reallocation of resources toward the company's next-generation AI initiatives and future hardware products.

Apple's Response

In a statement confirming the cuts, an Apple spokesperson said the company was looking "to evolve our business to deliver the best experiences for our users". "While we will create new roles as part of this change, it will also impact a limited number of existing roles," the company added.

Apple emphasized its commitment to supporting affected employees, noting that it would offer transition support and opportunities to apply for other roles within the company.

A Pivot, Not a Retreat

The layoffs at Apple represent a strategic pivot rather than a retreat. The company is simultaneously adjusting two major product lines: on the software side, it is reconfiguring talent and R&D resources around the new AI-powered Siri, while on the hardware side, it is scaling back Vision Pro investments in favor of developing smart glasses that could reach a broader audience.

Apple is expected to be working on its own version of smart glasses, with the first product potentially unveiled as early as WWDC 2027 and released by the end of that year. The company is betting that a lighter, more affordable, AI-powered wearable could succeed where the bulky, expensive Vision Pro has struggled.

For now, the Vision Pro team cuts including the effective shutdown of gaming development and the downsizing of immersive video production, signal that Apple has accepted the device will not be the blockbuster hit it once envisioned. But with a potential new Vision Pro model still on the horizon for 2028, and the company's full weight now behind AI-powered Siri, Apple is placing its bets on a future where artificial intelligence, not spatial computing, takes center stage.