Apple trims workforce as AI pivot reshapes product strategy

Roughly 100 employees were removed from the Vision Pro division, signaling a strategic retreat for the high-end headset that has struggled to gain mass-market momentum. The remaining cuts hit the Siri department and the Intelligent Systems Experience team, which oversees the integration of machine learning into Apple devices. Management framed the reduction as an evolution of its business model, noting that while some existing roles are being phased out, new positions will be created to align with the company's shifting priorities.

This workforce reduction occurs against a backdrop of financial tension. Apple is navigating a period of increased production expenses, partly driven by the global memory shortage fueled by the industry-wide AI race. To mitigate these pressures, the company recently hiked prices on Macs and iPads while introducing leasing programs to maintain hardware accessibility. The transition is further complicated by legal friction, including a trade theft dispute with OpenAI, as Apple attempts to reassert its influence in the crowded AI landscape.