Apple on Tuesday introduced new MacBook Pro and MacBook Air models equipped with the latest M5 chip, alongside an updated Studio Display lineup, marking the most significant update to the Mac product line in over a year. This move provides Apple with a fresh opportunity to stimulate Mac demand while further emphasizing that more AI tasks will be processed locally on the device, rather than relying solely on cloud services.
The announcement comes at a critical juncture for Apple's Mac business: during the holiday quarter, Mac sales declined by nearly 7% to $8.39 billion, significantly below analysts' expectations of nearly $9 billion. The new models are designed to encourage upgrades, particularly from users still on older Intel-based computers or early-generation M-series devices.
However, the new products also see a simultaneous price increase. Tight memory supply has driven up costs, with suppliers showing a preference for the more profitable AI data center market over consumer hardware.
The starting price for the 13-inch MacBook Air has risen from the previous $999 to $1,099, while the 15-inch model increases from $1,199 to $1,299. Apple has doubled the base storage to 512GB for these entry-level configurations.
The MacBook Pro line has also seen price hikes. The 14-inch model with the M5 Pro chip starts at $2,199, and the 16-inch model with the M5 Max chip starts at $3,899, representing a $400 increase over the previous generation.
To justify the higher prices, Apple has increased the starting storage for the Pro series. The M5 Pro model now starts with 1TB, and the M5 Max model starts with 2TB.
A more significant selling point, however, is performance. Apple positions the M5 Pro and M5 Max as a major upgrade for demanding workloads, particularly for AI applications. The company claims the new MacBook Pro can process large language model prompts up to four times faster than comparable M4 models and up to eight times faster than M1 models, without sacrificing battery life.
This is a core part of Apple's push to establish the Mac as a reliable platform for running advanced AI tools locally—a capability becoming increasingly important for businesses seeking to keep sensitive data off cloud servers.
Apple also refreshed its display lineup, replacing the aging Pro Display XDR with a new dual-series Studio Display. The base Studio Display starts at $1,599, while the high-end Studio Display XDR starts at $3,299, targeting professional users with higher brightness, mini-LED backlighting, and a higher refresh rate.
This made Tuesday's event distinctly different from Monday's, which focused on value-oriented products, including a new lower-priced iPhone. The overall strategy remains consistent: providing stronger upgrade incentives across different price segments without diluting the high-end product line.
The market continues to watch for potential new announcements on Wednesday. If Apple launches a rumored lower-cost MacBook, it would clearly indicate a two-pronged strategy for the week: retaining high-end buyers while also appealing to first-time Mac buyers, users switching from Windows and Chromebooks, and iPhone users who have never owned a Mac.