Apple Launches Budget-Friendly MacBook Neo at $599 to Compete with Chromebooks

Apple announced its newest laptop offering on Wednesday, introducing the MacBook Neo with a starting price of $599 as the tech giant seeks to capture market share in the budget-conscious computer segment while competitors struggle with memory chip shortages.

This budget-friendly laptop represents Apple’s most competitive pricing strategy for the PC market in recent memory. The MacBook Neo will run on Apple’s A18 Pro processor, the same chip that powers the iPhone 16 Pro series released in 2024.

The $599 price point significantly undercuts Apple’s previous entry-level MacBook, which launched in May 2006 at $1,099 — equivalent to approximately $1,750 in current dollars when adjusted for inflation.

Apple announced that customers may begin placing pre-orders immediately, with shipping and retail store sales commencing March 11.

“The real question is not whether Apple can sell a MacBook at this price (because it will be one of the most sold Macs ever if they can deliver), but how it balances cost, performance and brand positioning while maintaining the premium experience that defines the Mac,” Francisco Jeronimo, vice president of client devices at IDC, commented.

This isn’t Apple’s initial venture into this pricing territory. The company previously offered a $699 MacBook Air exclusively through Walmart, featuring the M1 processor that originally launched in 2020, after discontinuing other models using that chipset.

The MacBook Neo directly targets users of Google’s Chromebook devices and entry-level Windows computers, entering a market where Microsoft’s attempts to transition to more energy-efficient Arm-based processors haven’t generated significant sales momentum.

By entering the mid-tier PC market, Apple could expand its customer base to include students and consumers purchasing their first Mac computer.

Due to ongoing global memory chip supply constraints, the MacBook Neo includes 8 gigabytes of unified memory — half the amount found in M4-powered MacBooks and less than the 12 gigabytes featured in the iPhone 17 Pro.

Both global PC and smartphone markets continue to show high price sensitivity following several quarters of inconsistent consumer demand, with manufacturers still dealing with variable component pricing, especially for memory chips.

Apple also released its $599 iPhone 17e this week with expanded base storage capacity and updated its MacBook Air and Pro models with new M5 processors and standard configurations featuring increased memory, as the company works to maintain market position in competitive smartphone and declining PC markets affected by rising memory costs.