Pimax Adopts Software Subscription Model to Mitigate US-China Trade War Costs

Pimax, the innovative VR headset manufacturer based in China, recently issued a statement to address how the ongoing trade conflict between the US and China is affecting its business. The focus is on their latest product, the Crystal Super VR headset. Due to the current situation, customers in the US will experience a slight increase in price, but Pimax’s new payment plan seems to be softening the blow for many buyers.

Introduced in April 2024, the Crystal Super is Pimax’s upcoming flagship model. It boasts a 57 pixels-per-degree (PPD) QLED display with an impressive 3,840 x 3,840 resolution per eye and a 120-degree field of view. For now, it’s available only for pre-order, but shipments are expected to roll out shortly.

At present, US tariffs on goods imported from China have skyrocketed to 145%. This poses a challenge for companies producing extended reality (XR) headsets, as the majority of manufacturing happens in China. Pimax is the first to adjust its pricing strategy in response to these tariffs.

In their recent blog post, Pimax explained the situation to their US customers. The news isn’t as grim as it could be. They confirmed that all US orders placed before February 4, 2025, won’t incur additional tariff costs. However, these might experience a 20-day delay due to bulk shipments being sent to warehouses in the US.

For orders made between February 4 and April 10, there will be a $75 “Regional Surcharge” to cover the rising costs of shipping and logistics. Then, starting on April 10, all new US orders will include a $95 surcharge. Shipments for these orders are anticipated to commence in June, and Pimax is setting up a facility in Delaware for the final assembly stage.

Despite these changes, the core price of the Crystal Super hasn’t really shifted. Pimax has revised its pricing strategy: the headset’s upfront cost has dropped to $799, with an additional $885 to be paid later through their Pimax Play with Prime service. This totals $1,684 before the US-only $95 surcharge.

For international customers, the changes are minimal. Previously priced at $999 plus a $696 Prime subscription, the headset’s total cost was $1,695. Now, local prices have been adjusted to reflect a lower upfront payment.

Pimax also assures customers that the 14-day trial period still applies. For those outside the US, this makes Crystal Super even more appealing as it requires less money initially, and refunds remain an option if the product is returned within the trial period. Continued use post-trial necessitates the Prime subscription.

Interestingly, Pimax can balance the increased expenses with its pricier yet effective subscription model, an advantage that giant platform providers like Meta do not share. Meta is known for subsidizing hardware costs to boost their software appeal. Although Meta has not disclosed any plan to increase its prices, they did raise the Quest 2 headset’s price temporarily during the COVID-19 pandemic.

We’ll keep a close watch on how the trade tensions affect XR hardware. Stay tuned for more updates soon.