Unreal Engine settings for Apple Vision Pro local streaming
Requirements
Use UE 5.5 (Alpha Output setting is available from 5.5).
(optional) Package the project in Shipping configuration.
Settings
In Project Settings → Rendering, enable “Alpha Output”
Do not use “Alpha Holdout” (turn it off if enabled).

Add a PostProcessVolume to the scene and create a Post Process Material that inverts the alpha (because Unreal outputs alpha inverted vs what AVP expects)

Make sure the Post Process Material’s Blend Mode is set to Opaque, not Translucent.
Make sure Output Alpha is enabled in the material settings.

Scene Content for MR
Remove the skybox and any “background” geometry.
Streaming Launch Order
Start CloudXR runtime (see step 4 in High Level summary below)
Start the UE Windows build or Start Unreal Engine and launch VR Preview
High level summary
Project settings on UE project to output the alpha channel
Create and apply the post process material
Build the UE project for windows
Go to the folder where the CloudXR runtime is installed (usually root folder of c drive)
CloudXR runtime is contained in Innoactive plugin downloadable here.
Remember to set the active runtime as described in the Innoactive plugin readme file (points 8 and 9).
Start the
run_avp_highres.batfileStart the UE build or project in Unreal Engine and VR Preview
On Apple Vision Pro go to Innoactive client app and start unreal from local launch section
Manually input the IP address of the machine where the plugin is running