Apple may release more budget friendly iMac in 2014

With Mac sales falling short of expectations, Apple in 2014 may release a more economical model of its all-in-one iMac

Though Apple derives the bulk of its revenue from the iPhone, and more broadly speaking, from iOS, the company still hasn't forgotten about the Mac. Last week, analyst Ming-Chi Kuo of KGI Securities put out a research note claiming that Apple next year will release a more economical model of the iMac. As it stands now, the base model iMac starts at $1299, putting it out of the price range of many buyers who may simply not need all of the horsepower the iMac provides.

According to Kuo, who has a tremendous success rate with respect to mapping out Apple's product roadmap, a lower-cost iMac may help boost shipments by upwards of 10-20 percent. Kuo writes that a more budget friendly iMac was precipitated by weaker than expected sales of the current iMac model, which was completely revamped in late 2012 with a slightly tweaked form factor - which is to say it's insanely thin.

Kuo's research note reads in part:

Our surveys indicate that Apple’s last iMac model, released at end-2012 with an all-new-design, shipped fewer-than-expected units in the worldwide market. We think the price was set too high and the model failed to make an impact in critical foreign markets like China. We thus think Apple may offer a budget iMac model to push shipments among non-US markets in the face of solid competition from Levono (CN), HP (US) and other rivals. We are optimistic that a budget iMac would boost overall iMac shipments to grow 10-20% YoY in 2014.

This past September, Apple also upgraded the iMac's internals with Intel's power-efficient Haswell processors, next-gen Wi-Fi, improved graphics, and enhanced options for the Fusion Drive.

via Mac Rumors

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