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7:18Now PlayingApple rolled out the $599 MacBook Neo in its biggest push yet into low-end laptops, aiming to challenge Windows PCs and Chromebooks for budget-minded shoppers. The machine is $400 less than any new-generation laptop Apple has sold before, coming in well below the now $1,099 MacBook Air. The MacBook Neo will be offered in citrus, silver, indigo and blush color options, potentially making it appealing both to students and mainstream consumers. The MacBook has a 13.0-inch screen, making it one of the company’s smallest laptops to date. The MacBook Air, in contrast, offers a 13.6-inch display. Another twist: The Neo runs on an iPhone A18 Pro chip, marking the first time Apple is using a smartphone processor in a Mac. Bloomberg News Consumer Tech Reporter Samantha Kelly joins Bloomberg Businessweek Daily to discuss. She speaks with Carol Massar and Tim Stenovec. The release is a major shift for Apple, which has been reluctant for decades to launch a low-end Mac laptop. But the speed of its iPhone processors allowed the company to bring its pricing down measurably without significantly sacrificing performance.
In a statement, John Ternus, Apple’s hardware engineering chief, said that the MacBook Neo was “built from the ground up to be more affordable for even more people.”
The base model includes 256 gigabytes of storage, while a $699 upgraded version doubles the capacity and adds Touch ID for logging into the computer and apps as well as approving payments. There are also $100 discounts on each model for education buyers, bringing the entry price down to $499. Apple put the machine up for pre-order on Wednesday and said initial deliveries and in-store availability will take place on March 11.
The device has 16 hours of battery life, which compares with the 18 hours for the latest MacBook Air — a model that has a M5 chip. The display runs at up to 500 nits of brightness and weighs 2.7 pounds, matching the 13-inch Air.
The machine comes with 8 gigabytes of memory, or RAM, a 6 core CPU, or main processor, and 5 core GPU, or graphics component, with no upgrades available. The specifications are on par with an iPhone 16 Pro released in 2024. Beyond targeting more downscale shoppers, Apple will be able to pitch the computer as an option for corporate and organizational buyers — given its lower price and compatibility with both Mac and iPhone apps.
The Neo runs at speeds powerful enough for daily tasks like web browsing, word processing, photo editing and videoconferencing. Even with the iPhone chip, the machine still runs the same macOS operating system found on other Macs.
Read More: Hands-On Impressions of Apple’s MacBook Neo
The MacBook Neo is still made from aluminum, the same premium material used with higher-end Mac laptops and desktops. It also has a full keyboard and trackpad, support for WiFi 6E and a 1080P FaceTime camera, specifications that trail the Air and other Apple laptops. It also has Bluetooth 6 support.
The device has two USB-C ports and a headphone jack for connectivity. It comes with a 20-watt charger, similar to some iPhones. Bloomberg News reported that the lower-cost MacBook was in the works in November. The machine is costlier than the cheapest Chromebooks and Windows PCs, which can sell for as little as $200 to $600. But, in comparison to those products, Apple’s offering is far more premium given its design, features and internal components. The company says its machine runs three times faster for artificial intelligence than rival PC laptops.
Apple is expecting an influx of new customers to its stores to try out the new offering. Apple sees an opportunity to draw new customers into its product ecosystem. That could open up further opportunities to sell additional devices, like iPhones, iPads and Apple Watches.
The Cupertino, California-based company is coming off a disappointing holiday season for the Mac, with sales of the computer line dropping 6.7% to $8.39 billion. Analysts had projected more than $9 billion.
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