Is Apple Targeting Cheap iMacs?

Is Apple Targeting Cheap iMacs?

Apple redesigned its flagship all-in-one desktop a year ago, adopting an extremely thin form factor and using advanced manufacturing processes. However, the device may not be selling all too well, in part because desktops as a broader product category continue to decline. According to recent reports, Apple may be considering a low-cost version of the iMac to spur unit sales, particularly in international markets where the current iMac is priced relatively high.

Perhaps more interesting is speculation that Apple is working on an all new 12-inch MacBook, which would adopt an entirely new form factor. In doing so, Apple could attempt to offer the best of both worlds by combining the portability of its MacBook Air family with the higher performance of its MacBook Pros. Naturally, this potential device would carry a high-resolution Retina display as well.

Contrary to previous reports, the latest buzz in the rumor mill is that Apple is not going to launch a 12.9-inch iPad, but instead will stick with the 9.7-inch display while further increasing its screen resolution. That seems odd considering Apple's Retina marketing maintains that the human eye already cannot discern individual pixels, so by Apple's own rationale, increasing resolution may not be beneficial.

In this segment of Tech Teardown, Erin Kennedy discusses the latest rumors of Apple's 2014 product pipeline with Evan Niu, CFA.

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Erin Kennedy and Evan Niu, CFA, own shares of Apple. The Motley Fool recommends and owns shares of Apple. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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