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If you're interested in the MacBook Neo, we've got some good news and potentially some bad news.
First, the good news: Apple is reportedly planning to produce more than double the number of MacBook Neos it originally estimated. In early April, the Neo proved so popular that initial inventory was exhausted, and Apple resorted to rush orders to maintain stock.
"The customer response to MacBook Neo had just been off the charts, with higher-than-expected demand." Apple CEO Tim Cook said during the company's recent earnings call. He went on to say that the company is "supply constrained" on the Neo.
To combat that demand, Apple is reportedly doubling production plans. This is according to supply chain analyst Tim Culpan via his Culpium blog.
"It’s now asking suppliers to prepare capacity for 10 million units of the debut version of the Neo, up from an initial estimate of 5 million to 6 million," Culpan claims.
...and the potential bad MacBook Neo news
Unfortunately, Apple's attempt to get a MacBook Neo into customers' hands might also lead to a price hike.
During the initial sales spike, it was revealed that Apple was running out of A18 Pro chips that power the Neo. Culpan asserted that Apple was using "binned chips" in the Neo to hit the $599 pricepoint.
However, those chips represented a leftover supply of chips that were rejected not for not meeting the specifications of the iPhone 18 Pro. They were essentially "free chips," as Culpan points out.
Apple now faces two production dilemmas. One, per reports, there aren't any more binned A18 Pro chips. No, the company has to ask partner TSMC for a "hot lot" of the silicon.
To maintain the relationship, TSMC could let the rush-order pricing go, but they would still be more expensive, since these would be A-One chips, not just the ones that were rejected.
"With a fresh batch of A18 Pro SoCs, most of the new processors for the Neo will actually be top-tier and only some would fall into the downbin category," Culpan said.
Memory rears its ugly ahead once again
Beyond that, even since the MacBook Neo launched in March, DRAM prices have increased multiple times. A TrendForce report (seen by analyst Jukan) revealed that DRAM prices rose 57% in April alone.
The ongoing RAM crisis alone is predicted to finally hurt Apple later this year.
In recent weeks, Apple has quietly killed cheaper versions of some devices. The Mac mini, for example, only has one 512GB version available now after Apple axed the $599 256GB version this month.
It's possible that, as Culpan suggests, Apple could drop the 256GB $599 version of the Neo and only sell the $699 512GB variant.
At that point, it might be better to pony up for the more capable MacBook Air M5, or a refurbished MacBook Air M4, which usually start around $759.
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