According to Techmeme, Apple is testing a new low-cost Mac priced under $1,000 that uses an iPhone-class chip instead of an M-series processor. The device reportedly still outperforms early M1 Macs while expanding Apple’s entry-level Mac lineup without hurting Air and Pro average selling prices. Analyst Austin Lyons suggested this could be the oft-rumored everyday low-priced MacBook, noting that during his last CNBC Apple earnings interview he discussed this possibility and received what he interpreted as a “shoulder shrug” response. Lyons positioned this as one of the few near-term demand levers Apple has left after pulling out of the auto project, slow-rolling XR that “few care about,” and not pursuing smart-home devices or a ring product.
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The cheap Mac strategy makes sense
Here’s the thing – this move actually makes a ton of sense. Apple‘s been struggling to find growth levers outside of incremental iPhone updates and services. The Mac business has been surprisingly resilient, but it’s mostly been propped up by higher-end models. A sub-$1,000 machine that still delivers solid performance? That could open up entirely new markets. Think education, emerging markets, and just people who want a Mac but can’t justify spending $1,200+.
And using an iPhone-class chip is brilliant. It’s basically taking the A-series processors they’re already mass-producing and repurposing them for a new product category. The cost savings must be significant compared to developing a whole new M-series chip. Plus, if it really outperforms early M1 Macs, that’s still plenty powerful for most people’s daily computing needs.
What people are saying
The tech community’s already buzzing about this. Ben Bajarin and others have been discussing the implications on Twitter, with Payton Dev noting how this could reshape the entry-level computing market. Max Winebach pointed out the timing seems right given Apple’s other project cancellations. And Lex raised interesting questions about how this fits into Apple’s broader ecosystem strategy.
But here’s what I’m wondering – will this actually happen? Apple’s been rumored to be working on a cheaper Mac for years. Remember when everyone thought the iPad was going to become the budget computing option? That never really materialized in the way people expected.
Broader implications for Apple
This feels like Apple admitting they need to compete in more price segments. They’ve been content to stay premium while the Windows world eats their lunch in the budget space. But with PC makers catching up on quality and Apple’s other moonshot projects not panning out, maybe it’s time to go after that volume market.
The timing is interesting too. After killing the car project and with Vision Pro being such a niche product, Apple needs something to show investors they’re still innovating in hardware. A cheap Mac won’t get the same headlines as a car, but it could actually move the needle on unit sales. And let’s be real – most people would rather have an affordable Mac than a $3,500 headset they’ll use twice.
Basically, this seems like Apple playing defense while trying to find some offense. It’s not the most exciting move, but it might be exactly what they need right now. We’ll see if those shoulder shrugs turn into actual products.
