Apple’s main business still revolves around the iPhone, with roughly half of the revenue being brought in by these devices. But this is why it feels so strange that the company managed to build a better entry-level Apple laptop than an entry-level iPhone.

The MacBook Neo starts at $599 in the US, with buyers getting a full aluminum build, a 13-inch hi-res Liquid Retina display, Apple silicon, and all-day battery life. Apple is clear about what it has built. This isn’t a Pro machine with the powerful M series processors. But despite the various cutbacks in hardware, it still feels like a complete product.

Meanwhile, the iPhone 17e has the same philosophy as a new entry-level iPhone, but it is still harder to love in the same way. For the same $599 price tag, you get a faster A19 chip, MagSafe support, and 256GB starting storage. Those are decent improvements, and I have already written that Apple finally fixed some of the “budget iPhone” vibe. But the MacBook Neo made something click for me: Apple has managed to make its cheapest Mac feel generous, while its cheapest iPhone still feels like a carefully managed compromise.

Apple’s cheap Mac still feels generous in a way that 17e does not

This is the core of the epiphany. The MacBook Neo, despite all of its flaws, still feels truly like it belongs in the Mac family. It isn’t just reluctantly allowing people into the ecosystem. The Neo looked like it was built to win in its segment. The company gives it the premium aluminum shell, the strong display, the silent fanless design, and clear positioning for students, families, and first-time Mac buyers.

And the people are voting with their wallets, with even Apple being surprised by the demand, which has caused the brand to reportedly rush for more units. The iPhone 17e isn’t a bad phone outright. It just seems like Apple’s version of “just enough”. Yes, it gets the A19, MagSafe support (finally), and more storage. But it still has the familiar “e” energy, with just one rear camera, a notch instead of Dynamic Island, and a vibe that says “you can have the iPhone experience, but not too much of it.”

When compared to the iPhone 17, the lack of ProMotion makes the iPhone 17e feel like the only “old-gen” smartphone at this price—and the lone rear camera does no favors either. Google Pixel 10a is remarkably closer to the standard Pixel 10 in this regard. The display is smoother, and the camera sensors, while tiny, are still versatile. But in the case of the 17e, you’re compromising on both areas.

How Apple’s Neo took the laptop world by storm

The AI memory crunch has pushed laptop prices up across the board, and Arm laptops that were supposed to challenge Apple on price-per-performance are drifting into MacBook Air and MacBook Pro territory instead. All of this just makes the Windows ecosystem look worse in terms of value. These price hikes also hit the smartphone market, with many Android rivals matching the iPhone’s pricing. So where the MacBook Neo successfully carved its space, the 17e is being left behind.

That is also my chief argument here, as the MacBook Neo changes the conversation in the current landscape, while the iPhone 17e just survives it.

The contrast feels even sharper when you look at the playful energy Apple used to bring to entry-level iPhones. The iPhone 5c’s comeback is a great example of this, with a part of the phone’s retro appeal being that it did not look serious or sterile. It came in bright and fun colors. The MacBook Neo brings some of that energy back, while the iPhone 17e still feels like Apple is afraid to let its entry-level phone have a personality.

Apple accidentally proved where it still has work to do

The iPhone 17e is by no means a failed product. It is smarter than its predecessor and a solid choice for the right buyer. But the MacBook Neo is where Apple really commits to entry-level device. It makes it feel exciting, thoughtful, and almost disruptive. It just did that with a laptop instead of the device category it actually dominates.

Apple’s cheapest computer now looks like one of the best-value products in its lineup. Its cheapest new iPhone still feels like the thing you buy because you want an iPhone, not because the company finally cracked the code on budget value. And for a company built on the iPhone, that is a pretty telling miss.