At Apple, rare dissent over a new product: Interactive goggles

SAN FRANCISCO - When Apple held a corporate retreat in California's Carmel Valley about five years ago to discuss its next major product, Jony Ive, its longtime design chief, captivated a room of the company's 100 top executives with a concept video as polished as an Apple commercial.

The video showed a man in a London taxi donning an augmented reality headset and calling his wife in San Francisco. "Would you like to come to London?" he asked, two people who saw the video said. Soon, the couple were sharing the sights of London through the husband's eyes.

The video excited executives about the possibilities of Apple's next business-altering device: a headset that would blend the digital world with the real one.

But now, as the company prepares to introduce the headset in June, enthusiasm at Apple has given way to skepticism, said eight current and former...