Apple plans to release a low-cost laptop with iPhone chips to rival Chromebooks in the first half of 2026, codenamed 'J700' and aimed at casual users

Bloomberg's Mark Gurman, a hyper-focused Apple insider, reports that Apple is preparing to enter the low-cost laptop market, a move that would put it in competition with Google's

https://www.bloomberg.com/news/articles/2025-11-04/apple-readies-a-low-cost-laptop-to-rival-chromebooks-and-windows-pcs

This represents a major strategic shift for Apple, which has traditionally focused on high-margin premium devices. Apple's Mac division performed well in its most recent fourth-quarter 2025 financial results, reporting revenue of $8.73 billion, a 13% increase year-over-year.

Apple announces fourth-quarter results for fiscal year 2025, with sales up 8% year-on-year to over 15.7 trillion yen, the highest ever for the fourth quarter - GIGAZINE

According to Garman, the budget MacBook, codenamed 'J700,' is planned for release in the first half of 2026. It will be priced well below $1,000 and is targeted at casual users like students and businesspeople who do web browsing and word processing. It will also be aimed at iPad buyers who might prefer a more traditional laptop experience.

To achieve the lower price, the Mac will use less advanced components than the current lineup. Specifically, Gurman reports that the Mac will be equipped with the A-series chips developed for the iPhone, rather than the M-series chips designed for the Mac. If this is true, this will be the first time that the A-series chips will be used in a Mac, excluding developer kits.

It's unclear which A-series chip will be used, but initial rumors have suggested it could be the A18 Pro used in the iPhone 16 Pro, which Apple's internal testing suggests could be more powerful than the M1 chip for Macs released in 2020.

The display will also feature a cheaper LCD (liquid crystal display). The screen size will be slightly smaller than the 13.6-inch screen used in the MacBook Air, making it the smallest model in the MacBook series. The design will reportedly be 'completely new,' but details are still unclear. Gurman reported that the new product is being actively tested at Apple and is reportedly in early production at an overseas supplier.