I totally agree that relying on in-headset processing and not being able to hook up to a computer is a massive mistake for any headset and will relegate them to being stuttery paper weights in a shorter time than you'd think (look at the processors in "smart" TV's for a similar situation to reference.)

Of course there will be better. That's irrelevant. The only thing relevant is that it's unconditionally impossible for worse to be functional. My argument wasn't that Apple would be the only AR headset that will ever exist. It's that it's the first where AR isn't a lie. It's the first that a developer with a brain would consider making software for.

The idea that photorealistic rendering is required for AR to be useful is moronic. So is the idea that rendering at full resolution is needed. The resolution is mandatory so your eyes aren't bleeding 10 seconds into looking at text, because you could be blind as a bat and see the giant pixels if you step down much. Nothing more, nothing less.

Existing quality does not exist. There is nothing on the market that passes through the real world with low enough latency to use for literally anything that isn't very slowly repositioning yourself in a room. There are options that are transparent and can kind of sort of do really rough shapes and have them be visible, but that's it.