Apple’s new budget iPhone 17e arrives as MacBook prices climb
▼ Summary
– Apple has introduced a lower-priced iPhone 17e at $599, featuring 256GB base storage and a new A19 chip with improved battery life.
– The company reported strong iPhone 17 sales, with a nearly 25% jump contributing to a record $143.8 billion in quarterly revenue.
– Apple is raising prices on its new MacBook Air and Pro models with M5 chips, citing a global memory chip shortage.
– Simultaneously, Apple launched its most affordable laptop, the MacBook Neo, starting at $599 for consumers.
– Despite the price increases, Apple’s Mac division revenue of $8.39 billion fell nearly 7% and missed analyst estimates.
Apple is broadening its consumer reach with the launch of the iPhone 17e, a more budget-friendly smartphone priced from $599. This strategic move to capture a wider market segment arrives alongside significant price increases for its latest MacBook models, reflecting a dual approach of accessibility in one category and premium positioning in another. The new iPhone offers substantial value, starting with 256GB of storage at that entry price, which is double the base capacity of its predecessor.
Available in black, white, and soft pink, the iPhone 17e is powered by Apple’s newest A19 chip and features the advanced C1X modem, which the company states delivers notable improvements to battery efficiency. The device also includes a sophisticated 48MP Fusion camera system, engineered to provide the versatile capabilities of two high-end cameras in a single lens.
This product introduction follows a period of remarkable financial performance for Apple’s smartphone division. The company reported that iPhone 17 sales surged by nearly 25% in the fiscal first quarter of 2026, a result CEO Tim Cook characterized as “staggering.” Overall, Apple’s quarterly revenue reached $143.8 billion, marking a 16% increase from the previous year and setting new sales records in both North America and China.
Concurrently, Apple has implemented price hikes across its newly refreshed MacBook Air and MacBook Pro lines. These laptops, now equipped with the next-generation M5 series chips, see increased starting prices attributed in part to a global memory chip shortage, often referred to as “RAMageddon,” driven by soaring demand for artificial intelligence components.
The 13-inch MacBook Air now starts at $1,099, a $100 increase, while the 15-inch model begins at $1,299, also up by $100. Both configurations now feature a doubled base storage of 512GB. Price increases are more pronounced across the MacBook Pro family. The 14-inch model with an M5 Pro chip now costs $2,199, and the 16-inch version rises to $2,699. Models featuring the top-tier M5 Max chip have seen even steeper climbs, with the 14-inch version starting at $3,599 and the 16-inch model at $3,899.
In a contrasting move for its computer lineup, Apple also unveiled the MacBook Neo, promoted as its most affordable laptop ever. This 13-inch device has a starting price of $599, or $499 for educational customers. This launch occurs as Apple’s Mac division reported quarterly revenue of $8.39 billion, a figure that declined nearly 7% from the same period last year and fell short of analyst projections.
(Source: Fox Business)
