Unable to afford physical components, Steve Wozniak spent years designing computers on paper. This constraint forced him to compete with himself to use the fewest possible parts, a skill that became a critical competitive advantage for Apple's early, cost-effective hardware.

Startups are overwhelmingly focusing on rings for new AI wearables. This form factor is seen as ideal for discrete, dedicated use cases like health tracking and quick AI voice interactions, separating them from the general-purpose smartphone and suggesting a new, specialized device category is forming.

Using a non-intrusive hardware device like the Limitless pendant for live transcription allows for frictionless capture of ideas during informal conversations (e.g., at a coffee shop), which is superior to fumbling with a phone or desktop app that can disrupt the creative flow.

Luckey argues analysts misunderstand the Vision Pro's strategy. At $3,500, it's not a mass-market product. Its goal is to make VR highly desirable and aspirational. By solving the "want" problem first, Apple primes the market for future, lower-cost versions, avoiding the trap of making a cheap product nobody wants.

Instead of visually-obstructive headsets or glasses, the most practical and widely adopted form of AR will be audio-based. The evolution of Apple's AirPods, integrated seamlessly with an iPhone's camera and AI, will provide contextual information without the social and physical friction of wearing a device on your face.

Apple isn't trying to build the next frontier AI model. Instead, their strategy is to become the primary distribution channel by compressing and running competitors' state-of-the-art models directly on devices. This play leverages their hardware ecosystem to offer superior privacy and performance.

For novel hardware like AI glasses, forcing in-person purchase at retailers like LensCrafters allows for guided setup. This strategy minimizes negative reviews from untrained users, ensuring early adopters have a positive experience and become advocates, even at the cost of sales friction.

Unconventional AI operates as a "practical research lab" by explicitly deferring manufacturing constraints during initial innovation. The focus is purely on establishing "existence proofs" for new ideas, preventing premature optimization from killing potentially transformative but difficult-to-build concepts.

Despite the hype, AI's impact on daily life remains minimal because most consumer apps haven't changed. The true societal shift will occur when new, AI-native applications are built from the ground up, much like the iPhone enabled a new class of apps, rather than just bolting AI features onto old frameworks.