Known for being late in launching new products in a saturated market, Apple (AAPL) is doing so again with a budget laptop. MacBook Neo is a low-cost laptop that is comparable to Google’s (GOOG) Chromebook or a budget HP (HPQ) computer.
Neo will have 8GB of memory, when 16 GB is the norm in the Microsoft (MSFT) Windows-based world. Still, Apple said that Neo will appeal to more people, thanks to its budget pricing. It has an all-day battery life, a multi-touch trackpad, weighs 2.7 pounds, and has a 13-inch screen.
Unlike its other devices, Apple opted to bring back an audio jack. That would appeal to schools, where wired headphones are typically used.
Apple also released a budget 17e model iPhone. It updated the iPad Air. Plus, it refreshed the higher-tier MacBook Air, MacBook Pro, and Studio displays.
Apple’s renewed focus on devices and computers will position the company to take market share. Dell Technologies (DELL), which posted strong server sales last quarter, needs to hold its market share in the PC sector. It faces competition from Lenovo (LNVGY).
Your Takeaway
The PC market must contend with soaring memory chip prices. Unit prices more than tripled in less than two quarters. Companies would need to pass higher costs to consumers, hurting unit demand. Conversely, they could absorb the cost, which would hurt profit margins.
