Apple is preparing to enter the low-cost laptop market for the first time. The company is developing an affordable Mac designed to compete with Chromebooks and entry-level Windows devices. The move marks a major shift for Apple, which has long focused on premium, high-margin products.
The new Mac is code-named J700 and is currently in active testing and early production with overseas suppliers. Apple aims to launch it in the first half of 2026.
Apple is designing this budget Mac for students, businesses, and casual users. It will handle tasks like web browsing, document editing, and light media work. Apple also wants to attract iPad buyers who prefer a traditional laptop with a keyboard and trackpad instead of a touchscreen.
This model will run on an iPhone-class processor, marking the first time Apple uses a smartphone chip in a Mac. However, internal testing shows the chip outperforms the M1 processor, which powered MacBooks until recently.
The upcoming Mac will feature an LCD screen smaller than 13.6 inches, making it the smallest display on any current Mac. To keep costs down, Apple will use less-advanced and cheaper components. Despite that, the device will sport an entirely new design, not a repackaged version of older models.
Apple plans to price the laptop well under $1,000, possibly around $600, putting it in direct competition with Chromebooks and iPad keyboard bundles. Previously, the company sold discounted M1 MacBook Airs under $700 through retailers like Walmart, but this model is purpose-built for affordability.
Apple’s entry comes as Chromebooks dominate the education and budget markets. Meanwhile, Microsoft’s move to Windows 11 has frustrated some Windows 10 users who lost update support. Apple sees this as an opportunity to offer a more stable and ecosystem-friendly alternative.
HP and Dell shares dropped about 2%, while Apple’s stock rose slightly to $270.25. Apple currently holds around 9% of the global PC market, ranking fourth behind Lenovo, HP, and Dell, all of which sell low-cost Windows or ChromeOS laptops.
The low-cost Mac is part of Apple’s broader 2026 product roadmap. The company has completed development of an M5 MacBook Air for early next year. It also plans to release M5 Pro and M5 Max MacBook Pros, new Mac mini models, and Mac Studio updates with M5 Max and M5 Ultra chips.
Looking ahead, Apple is developing a redesigned MacBook Pro with an M6 chip and a touch-enabled OLED display, expected between late 2026 and early 2027. Two new external Mac displays are also in the works.
Apple’s Mac division grew 13% last quarter, generating $8.73 billion, its fastest-growing hardware segment. However, growth may slow this quarter as the company focuses on launching an entry-level MacBook Pro with an M5 chip.
Apple has not yet commented publicly on its upcoming low-cost Mac, and no official details have been confirmed.