Apple is considering ditching the cheapest MacBook Neo configuration as a possible response to the popular laptop’s rising construction costs, according to a Taiwan-based technology columnist and veteran. Bloomberg journalist Tim Culpan.
The Neo currently starts at $599 for a 256GB model, with a 512GB version going for $699.
In his latest Culpium newsletter, Culpan says that removing the entry-level 256GB model is among the options Apple is considering as component costs rise. Such a move would increase the Neo’s effective starting price by $100 without increasing the price of an individual configuration.
Apple recently made a similar decision with two of its other Mac models. Apple stopped offering the Mac Studio with 512GB of RAM in March and last week dropped the Mac mini’s lowest 256GB storage option, raising the latter’s starting price from $599 to $799 in the United States. The moves were made because of higher-than-expected demand and a global shortage of memory chips, driving up costs as the construction of AI data centers reduces supply.
Culpan says the pricing tension around the Neo is linked to Apple’s efforts to speed up manufacturing. Shipping estimates on Apple’s website are currently two to three weeks for the entire line following stronger-than-expected demand, and the company has reportedly asked its suppliers to increase production capacity to 10 million units, roughly double the original forecast of 5 to 6 million.
To meet its revised production target, Apple needs a new supply of A18 Pro chips from TSMC. The Neo uses the same chip as the iPhone 16 Pro, but existing stock has reportedly been exhausted by initial demand. TSMC is also said to have limited 3nm spare capacity, with AI-related orders consuming a large portion of its production.
Apple’s costs are further complicated by the fact that the initial Neo batch used lower-bracket A18 Pro chips with a disabled GPU core. However, new production would produce more fully functional chips, increasing the unit cost even before accelerated manufacturing bonuses are applied.
If Apple ultimately decides not to abandon the $599 MacBook Neo configuration, Culpan says the company also plans to introduce new color options for the current generation Neo to cushion a possible price hike.