NEW YORK, United States — Apple on Wednesday unveiled the MacBook Neo, its cheapest new laptop to date, priced at $599, as the tech giant targets budget-conscious buyers and seeks to expand its share in the global PC market.
The device marks a notable shift in Apple’s strategy: it is the first MacBook powered by a chip typically used in the iPhone, the Apple A18 Pro processor that also runs the iPhone 16 Pro.
Speaking during the launch event in New York, Apple’s senior vice president of hardware engineering, John Ternus, described the MacBook Neo as a completely new product designed from scratch.
“The MacBook Neo is totally new and built from the ground up,” Ternus said during the announcement.
Apple Targets Budget Laptop Market
The launch signals Apple’s push into the lower-cost laptop segment long dominated by Windows PCs and Chromebooks.
While Apple’s computers have historically been positioned as premium devices, the MacBook Neo aims to attract students, younger consumers, and first-time Mac users who may not be able to afford the more expensive MacBook Air or MacBook Pro models.
Despite its lower price, the laptop still runs Apple’s full macOS operating system, demonstrating the company’s ability to optimise software for its custom chips.
Industry analysts say Apple’s tight control over both hardware and software gives it an advantage.
“They’re taking a chip that typically serves a lightweight operating system and running a more heavyweight operating system,” said Jitesh Ubrani, a research manager at International Data Corporation. “That speaks volumes about Apple’s ability to optimise.”
Smaller, Simpler MacBook
Compared with Apple’s existing MacBooks, the Neo features a smaller display, lower memory capacity, and brighter colour options, including a new “citrus” yellow finish.
However, the defining feature is its use of the mobile A18 Pro processor, marking the first time Apple has deployed one of its iPhone chips in a laptop.
The move highlights Apple’s long-running effort to design chips tailored to its ecosystem of devices.
Although Macs remain a smaller portion of Apple’s revenue compared with the iPhone, analysts say they play a critical role in keeping users within Apple’s broader ecosystem that includes the Apple Watch and a range of subscription services.
Challenging PC Giants
Apple remains far behind the world’s largest PC manufacturers. According to data from Gartner, Lenovo controlled 27.2 per cent of the global PC market at the end of 2025, compared with 9.4 per cent for Apple.
But the company hopes the new entry-level MacBook could broaden its appeal, particularly in education markets where Chromebooks dominate.
Gartner analyst Autumn Stanish said the device could help Apple expand its presence in classrooms, while analysts expect it to be especially popular among college students and younger buyers.
Industry Faces Supply Pressures
The launch also comes at a challenging time for the laptop industry.
Demand for high-performance memory used in artificial intelligence data centres has strained global component supply, leaving fewer parts available for consumer electronics.
Gartner expects PC prices to rise by 17 per cent in 2026, while IDC projects global PC shipments could decline by 11.3 per cent this year.
Analysts say launching a cheaper laptop before those price increases take effect could help Apple capture additional market share even as overall demand weakens.
“That share gain is primarily because of this device,” Ubrani said.
Apple also announced updated versions of the MacBook Air and MacBook Pro alongside new laptop chips during the event.
The MacBook Neo will go on sale on March 11, marking Apple’s most aggressive attempt yet to challenge budget laptop makers and attract a new generation of Mac users.
