They failed to come up with a strong selling point. Health is the big seller for Apple Watch. But AVP, at its price point, needs something better than "well you can watch movies on a big screen or work in a café while looking silly".
As a medical device for the vision impaired, AVP has a built-in audience that is used to paying top dollar, especially if paying means just a co-pay. It also eliminates popular disquiet about improper recording--no one will complain about a device that helps the vision impaired get around. Why neither Apple nor Meta went down this path is inexplicable.
I have no interest in using a headset in public or doing work on one.
Watching movies on a big screen would be interesting, but they still do not sell the device in my country in Europe, so I had no way to demo it and judge whether the quality is adequate for a home theater experience.
But remember health was a small thing when the watch was launched. Then the focus was on notifications, communications etc. Fitness was more of a ”oh and it also tracks your heart rate”
True. Seems like none of the VR devices have found their killer app.
It absolutely failed to justify its price point IMHO. If it were affordable people would be finding uses for it, but when it is that expensive you basically need a business justification for buying one. That means you won't have a hobbyist community finding new and interesting things to do with it.
This leaves Apple and maybe a handful of subsidized third parties as the only people making applications for it, which is pretty much a guarantee that it will remain a tiny niche industry.