Here's how much the components of Meta Quest Pro might cost
The retail price for the Meta Quest Pro is $1,000. How much does it cost to manufacture the components for the premium headset?
Nikkei Asia had Meta Quest Pro disassembled to determine the approximate value of the components. The analysis was done by Fomalhaut Techno Solutions, a Tokyo-based technology lab specializing in reverse engineering and BOM analysis.
The team performed a teardown and estimated the total component cost at $443. This is 2.4 times as much as Meta Quest 2, which the specialists valued at $182.
The cost of materials usually depends on the quantity ordered: The more components produced, the lower the price, and vice versa. It is not clear from the report which quantities have been assumed.
Meta Quest Pro: The overall cost is higher
The cost of assembling the components is not included in this total. An iFixit teardown technician estimated this cost factor to be quite high due to the complexity of the unit.
Other costs are incurred for other factors, such as packaging and logistics. The total cost of manufacturing and selling the Meta Quest Pro will therefore be higher. Furthermore, not included are the research and development costs that went into the device.
The Meta Quest Pro was launched in October 2022 at a price of $1,500. In early March, Meta reduced the price of the device to $1,000, following weak demand.
US manufacturing of components makes Quest Pro more expensive
The Nikkei Asia report contains other interesting information, such as Meta's dependence on Chinese manufacturers and the distribution of material costs by manufacturing country.
In the case of the Meta Quest Pro, the costs for Chinese components make up 18 percent of the total component costs. This is 14 percent more than Meta Quest 2.
In general, Meta is trying to reduce its dependence on Chinese manufacturers as much as possible, and relies mostly on U.S.-made semiconductors, which results in about 30 percent higher manufacturing costs for these components. This in turn is reflected in the selling price.
Meta is more dependent on China when it comes to displays. "With the Washington-Beijing conflict over high technology deepening, our teardown reveals a procurement strategy of avoiding geopolitical risk in regard to semiconductors while using low-cost Chinese products for displays and substrates," the report says. The Meta Quest Pro's quantum dot LCDs are also manufactured by China's BOE.