Apple's $100 MacBook Neo Hike Still Beats the PC Competition

Apple raised the price of its entry-level MacBook Neo by $100. The laptop still undercuts similarly specced Windows machines from Dell, HP, and Lenovo when build quality and the ecosystem are factored in, several reviewers said.

The Cupertino company announced the new pricing earlier this week. A $100 student discount remains available, softening the increase for many buyers. The metal chassis, Retina display, and seamless integration with iPhone and iPad have long been the machine's selling points. Those features did not change with the price hike.

Apple's decision to raise the price while keeping the student discount suggests the company sees limited substitution risk from rival devices. The MacBook Neo is a volume driver for Apple's Mac segment, which accounted for roughly 10% of total revenue in the last fiscal year. A $100 increase on the entry-level model could lift average selling prices and gross margins per unit, even if unit sales dip slightly.

The move comes as Apple faces renewed competition from Dell and HP, which have refreshed their ultrathin lines with Intel's latest chips and longer battery life. The MacBook Neo's battery life remains best-in-class in tests from Consumer Reports and Wirecutter. The macOS ecosystem also continues to attract users who value privacy, the App Store, and iMessage compatibility.

For investors, the price hike introduces a small near-term uncertainty. Will demand prove elastic enough that the $100 bump pushes some buyers to a cheaper PC, or will brand loyalty and the student discount hold units steady? The first sales data will come with Apple's October earnings report. The company has not provided guidance on Mac unit volumes for the current quarter.

Apple's previous entry-level MacBook pricing had been unchanged for two years. The $100 increase is the first adjustment since the launch of the current generation. Competitors have not signaled similar price moves on their entry-level models, which could give Apple a pricing advantage if they hold their line.

The MacBook Neo goes on sale next month with the new pricing. Apple's next quarterly report will include the first sales numbers under the structure.

The student discount applies to all models and is available to students and educators at participating institutions. That discount effectively reduces the price increase to zero for a subset of buyers, which may blunt the impact on unit sales. The margin benefit from the price hike is highest on non-discounted sales, which account for the majority of the MacBook Neo's volume.

Apple shares have risen 12% this year, in line with the broader tech sector. The Mac segment has been a steady contributor, with flat to slightly declining unit sales offset by higher average selling prices. The MacBook Neo price hike fits that pattern: it trades volume for margin, a strategy Apple has employed across the iPhone and iPad lines in recent years.

Wall Street analysts generally view Apple's pricing power as a key strength. The company commands a premium over hardware rivals, and its installed base of over 2 billion active devices creates recurring services revenue that makes the initial hardware sale less critical to long-term profitability. The MacBook Neo price hike, while modest, reinforces that narrative.

One risk: if the price increase triggers a noticeable drop in demand, Apple could face pressure to restore the old price or improve specs. The company has occasionally reversed price moves on lower-tier products after weak reception. The MacBook Neo's strong review scores and loyal user base make a significant demand drop unlikely.