Apple Inc. unveiled its long-awaited mixed-reality headset, capping more than seven years of development and vaulting the company into a market that could someday transform computing. 

The device, called Apple Vision Pro, was introduced Monday at the annual Worldwide Developers Conference in Cupertino, California, serving as the finale for a day of software and hardware announcements. The price will be $3,499, higher than most rival devices, and it’s slated to arrive in early 2024.

Read more: How Apple's mixed-reality headset will work

In a wide-ranging presentation, Apple demonstrated the features and spotlighted content planned for the product, which resembles high-tech ski goggles, including games and interactive video from Walt Disney Co. 

The headset is the latest of Apple’s “next big things”—a groundbreaking new product that can help the tech titan maintain sales. It marks the company’s first major new category since the Apple Watch launched in 2015 and will attempt to redefine an industry in the same vein as the Mac, iPod, iPhone and iPad.

Still, the widely anticipated launch failed to wow investors. Apple shares pared earlier gains after the Vision Pro was announced. As of 2:34 p.m. in New York, they were down about 0.1% at $180.76.

The headset is an attempt to change how people interact with the world. Apple has long been seeking a new platform to take it beyond the iPhone and iPad. The wearable device mixes both virtual and augmented reality, meaning it can fully engross a user in content with high-resolution displays—ideal for video watching—or overlay apps on top of the wearer’s field of view, letting messages and notifications pop up without overwhelming the person.

“It’s the first Apple product you look through and not at,” CEO Tim Cook said during the presentation. “This marks the beginning of a journey.”

Like Apple’s other devices, the new product will have its own operating system, called vision OS. 

The company described the new interface as “spatial computing.” A feature called EyeSight shows an image of your eyes on the outside of headset when people are nearby. The product also will show those people in your field of vision while you’re wearing the device, an attempt to keep users more engaged with the outside world.

A so-called digital crown—taking a term from the Apple Watch—switches the headset between augmented and virtual reality. Apple said it studied thousands of people’s heads to ensure the product would be comfortable and filed more than 5,000 patents. 

Apple’s launch sets up a showdown with Meta Platforms Inc., which currently owns 81% of the VR headset market, according to Counterpoint Research.

Disney CEO Bob Iger joined the presentation, saying that the Disney+ streaming service would be available for the device on the day it launches. Disney shares climbed less than 1% to $91.36.

“We believe Apple Vision Pro is a revolutionary platform that can make our vision a reality,” Iger said.

Apple also announced new features to its iPhones and iPads that let users make diary entries and turn their idle phones into smart displays.

—Bloomberg News