Focus Shifts to AI and New Devices
Apple has undertaken a comprehensive organizational restructuring as part of its decision to reshape its AI strategy and realign its hardware priorities. According to information reported on Friday, August 21, 2026, the company laid off more than 200 employees working in units responsible for developing the Vision Pro mixed-reality headset and the digital assistant Siri.
Approximately 100 of the layoffs directly affected teams preparing content and software for the Vision Pro platform. Apple was said to have largely halted its game development efforts for the Vision Pro and downsized its high-production-cost immersive video (Immersive Video) production team. After an analysis of user data showed that consumption of games and exclusive videos on the device was below expectations, Apple plans to leave the production of such 3D content to third-party developers instead of producing it in-house.
Siri and AI Units Restructured
The remaining 100 layoffs also included the Siri team and the Intelligent Systems Experience unit within the software engineering organization, which provides AI integration for devices. Focusing on rebuilding the Siri infrastructure around next-generation AI models, Apple is eliminating some roles linked to the old architecture while creating new positions aimed at the company’s transition to AI.
The company has long been working to improve and expand the AI experience on its devices. After recently taking steps to secure up-to-date content by reaching agreements with publishers for Apple Siri AI, the technology giant is reorganizing its workforce in a way that will balance production costs and make room for new products.
New Directions in Hardware Strategy
These developments do not mean that Apple is abandoning Vision Pro and the visionOS operating system entirely. However, the company plans to focus in the near future on lightweight smart glasses projects that do not require advanced 3D games or immersive videos.
In confirming the matter, the company’s management stated that its business models were being transformed to provide users with the best experience and that this change necessarily affected a limited number of existing roles.
Apple officials also said that new positions would be created as part of the transformation and that affected employees would receive support in applying for alternative roles within the company.