First with iPhone chips! Apple plans to launch a "budget" MacBook, with a price possibly below $799

Apple plans to launch its first entry-level MacBook, which will feature an iPhone-level processor for the first time, with a price potentially below $799. This product is equipped with only 8GB of memory, half the configuration of existing MacBook Air and MacBook Pro models with 16GB, but it is not expected to significantly impact smooth operation and will support Apple AI Assistant Apple Intelligence.

On Thursday, according to Mirror Daily citing sources, Apple is highly confident in the sales prospects of this first low-cost entry-level notebook. Industry insiders reveal that Apple expects the annual shipment volume of this product to reach 5 million to 8 million units, accounting for approximately 20% to 30% of last year’s Mac sales.

In terms of supply chain, Quanta will receive over half of the orders, while Apple’s long-term manufacturing partner Foxconn will handle the remaining orders. Despite rising memory prices, Apple has signed new DRAM and NAND supply agreements with memory manufacturers such as Samsung Electronics, SK Hynix, and Kioxia, which are expected to secure supply at least through the first half of 2026.

This product strategy highlights Apple’s ability to hedge cost pressures through high-margin service businesses and self-developed chips, opening new growth opportunities in the highly competitive entry-level notebook market.

Significant Reduction in Memory Configuration, Hardware and Software Integration as Key

The entry-level MacBook’s 8GB memory configuration is only half of that of current models, but Apple relies on highly integrated design to achieve more efficient and flexible memory usage. According to reports, in contrast, Wintel laptops based on Windows software and Intel hardware adopt open architectures, with operating systems and hardware from different suppliers, limiting the degree of hardware-software integration and requiring additional memory redundancy.

Sources indicate that, despite the lower memory configuration, operational smoothness may not be noticeably affected. The device will also support Apple Intelligence, maintaining competitiveness in the entry-level product segment.

Supply Chain Layout to Address Rising Memory Prices

On the supply side, sources reveal that Apple has signed new DRAM and NAND supply agreements with memory manufacturers including Samsung Electronics, SK Hynix, and Kioxia. These contracts are expected to ensure supply at least through the first half of 2026. As supply issues are largely resolved, reports suggest that the significant increase in memory prices may have a relatively limited impact on Apple’s financial performance.

In manufacturing, Quanta will receive over half of the assembly orders, with Foxconn handling the remaining portion. This order distribution reflects Apple’s balanced supply chain management strategy.

Service Business and Self-Developed Chips Hedge Cost Pressures

Reports indicate that the impact of rising memory costs on Apple may be limited, as the company’s high-margin service business continues to expand. The service segment includes iCloud, Apple Pay, Apple Music, Apple TV+, and the App Store, with gross margins of 70% to 80%. This segment accounted for 26.2% of revenue in fiscal 2025, up from 24.5% in 2024, 22.2% in 2023, and 19.8% in 2022. The growing profitability provides a buffer against memory price pressures.

Additionally, reports state that besides memory, Apple designs other key chips in-house, including M-series processors for notebooks, A-series processors for iPhones, S-series Bluetooth chips, and C-series 5G modem chips, all deployed at sufficient scale to achieve economies of scale, resulting in significant cost savings. The entry-level MacBook’s adoption of an iPhone-level processor further demonstrates Apple’s strategy of reducing costs through chip reuse.

Risk Warning and Disclaimer

        The market carries risks; investments should be cautious. This article does not constitute personal investment advice and does not consider individual users’ specific investment goals, financial situations, or needs. Users should consider whether any opinions, views, or conclusions in this article are suitable for their particular circumstances. Invest at your own risk.