Apple unveils $599 MacBook Neo powered by iPhone chip to challenge Chromebooks and Windows PCs

Apple just took a sharp turn in its laptop strategy.

The company on Wednesday unveiled the MacBook Neo, a new entry-level laptop starting at $599, marking one of the lowest price points Apple has ever offered for a Mac. The move signals a clear push into the budget PC market long dominated by Chromebooks and low-cost Windows laptops.

At $599, the Neo undercuts Apple’s long-standing $999 entry point and opens the Mac ecosystem to a far wider audience, including students, first-time laptop buyers, and iPhone users who have never owned a Mac.

The new laptop runs on the A18 Pro chip, the same processor family introduced with Apple’s iPhone 16 Pro models in 2024. Apple has rarely used its iPhone-class silicon inside a Mac before. The decision allows the company to lower costs while still delivering the full macOS experience.

For Apple, the pricing shift is striking. The last time the company introduced a non-Pro, non-Air MacBook at launch in 2006, the price was $1,099, which equals roughly $1,750 in today’s dollars after inflation.

That makes the Neo one of the most aggressive pricing moves Apple has made in the Mac category in years.

With MacBook Neo, Apple targets the budget laptop market

Apple MacBook Neo Source: Apple Inc.

The MacBook Neo arrives at a moment when PC buyers remain highly sensitive to price. Chromebook sales surged over the past decade in classrooms and budget households, areas where Apple historically had little presence.

Apple is now stepping directly into that territory.

The Neo is positioned against entry-level laptops from Google’s Chromebook ecosystem and low-cost Windows PCs from companies such as HP, Dell, and Lenovo.

“There is simply no other laptop like it,” said John Ternus, Apple’s senior vice president of Hardware Engineering, in a statement.

Apple is betting that many users who already live inside the iPhone ecosystem may find a $599 Mac hard to ignore.

A Mac powered by iPhone silicon

Unlike the MacBook Air and MacBook Pro, which run on Apple’s M-series chips, the Neo uses the A18 Pro, a processor built for smartphones. The change reduces production costs and allows Apple to hit the lower price point.

The laptop still runs macOS, giving users access to the same software environment found on the rest of the Mac lineup.

Apple says the system can handle AI tasks up to three times faster than many competing PC laptops, part of a broader push to weave Apple Intelligence features across its devices.

Lightweight design with a colorful twist

Apple MacBook Neo Source: Apple Inc.

The MacBook Neo keeps the design language Apple has leaned on across its laptops: a slim metal body, minimal ports, and long battery life.

The laptop features a 13-inch display, weighs 2.7 pounds, and reaches 500 nits of brightness, similar to the MacBook Air. Apple says the device delivers up to 16 hours of battery life.

The Neo ships with 256GB of storage in the base model. A version priced $100 higher doubles that storage and adds Touch ID.

Ports include two USB-C connectors and a headphone jack.

Apple is adding a lighter visual touch to the lineup with colors such as indigo, blush, citrus, and silver, giving the Neo a more playful appearance than the rest of the Mac family.

Apple MacBook Neo Source: Apple Inc.

Apple’s three-day hardware push

The MacBook Neo arrives at the end of a busy product rollout from Apple this week.

Over three days, the company refreshed several devices, including the iPhone 17e, iPad Air, and the MacBook Pro lineup.

The updates reflect a broader strategy: push stronger chips and AI capabilities deeper across Apple’s hardware lineup, including lower-priced products.

Pressure on Mac sales

Apple’s push into the budget segment comes as the Mac business faces pressure.

Mac revenue fell nearly 7% to $8.39 billion during the most recent holiday quarter, missing analyst expectations of roughly $9 billion.

At the same time, Apple raised prices across the higher end of its laptop lineup. The 13-inch MacBook Air with the M5 chip now starts at $1,099, up $100. The 16-inch MacBook Pro with the M5 Max chip climbed $400 to $3,899.

The Neo fills the gap at the bottom of the lineup.

Balancing price and brand

Apple has experimented with lower-cost Macs before. The company previously partnered with Walmart to sell a $699 MacBook Air featuring the M1 chip, which was released in 2020.

The Neo pushes the concept further by creating a dedicated budget Mac for the first time in more than a decade.

The bigger question now is how Apple balances affordability with the premium brand image that has long defined its laptops.

“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,” said Francisco Jeronimo, vice president of client devices at IDC, according to Reuters.

Launch timeline

The MacBook Neo is available for pre-order starting Wednesday, with in-store availability and deliveries beginning March 11.

Apple will also offer education discounts, a move that signals how strongly the company is targeting students and classrooms with the new device.

In a market where price often decides the purchase, Apple just placed its lowest-priced Mac ever directly into the fight.

Apple MacBook Neo Source: Apple Inc.