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Asus chief says Macbook Neo’s affordable pricing came as a shock to the entire PC market — compares $599 notebook to a tablet and content-consumption device

ibrahem203002 weeks ago05 mins

Asus co-CEO S.Y. Hsu said that the MacBook Neo was “certainly a shock to the entire market,” especially given that Apple devices usually came with premium pricing. Hsu said this during the company’s 4Q25 earnings call, when asked how the company views its impact on the 2026 PC market. The Asus executive said that it has heard about the product’s shipment as early as the latter half of 2025, and that it has already made some preparations for its arrival. However, it seems that the company — and the rest of the PC industry — did not expect the entry-level Apple laptop to launch at just $599.

Despite the initial surprise at the affordable pricing of the MacBook Neo, Mr. Hsu said that the cheap laptop has its limitations. “For example, the memory is not upgradeable, and it only has 8GB of memory,” the Asus co-CEO said. “This may limit certain applications. So, I think when Apple petitioned the product, it’s probably focused more on content consumption. This differs somewhat from mainstream notebook usage scenarios, because in that case, the Neo feels more like a tablet — because tablets are mostly for content consumption.”

Another thing mentioned is that many laptop buyers are already used to using Windows as an operating system, meaning they might balk at switching over to macOS. Hsu even questioned whether the low price of the Neo is enough of an incentive to cause buyers to switch over. Still, PC manufacturers cannot ignore the fact that Apple has released a new product that is an arguably better alternative to some cheap Windows laptops and Chromebooks. The Asus executive said that many vendors are already looking for ways to compete with the Neo, although he also said that “the actual impact on the overall PC market still needs some time to resolve.”

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While it’s unclear what Asus or the rest of the PC vendors will release in response to the MacBook Neo, this would hopefully result in higher-quality models with a comparable price point. At the moment, most cheap Windows laptops feel exactly like that — they come with plastic shells, dim screens, and poor build quality that reflect the corners companies cut to reach a lower cost. Apple’s latest cheap laptop should light the fire under PC manufacturers, forcing them to build a model that could offer comparable aesthetics, craftsmanship, and performance at a similar price. Unfortunately, the situation is complicated by the ongoing memory and storage chip crisis, leading to high prices that could cause the end of the entry-level PC.