Apple Updates Desktops, Lowers Some Prices

Apple Inc. unveiled its latest desktop computers, including new Mac mini, 24" iMac & a high-end Mac Pro that's cheaper than the prior versions. The Cupertino, CA company avoided drastic price cuts, though new models generally offer more features & computing power for the same price as previous models. The flagship 24" iMac, which will sell for $1,499 or $300 less than the prior model, has twice the memory & storage. The new Mac Pro, which starts at $2,499 or $300 less than the previous model, includes a next-generation Nehalem microprocessor from Intel. The new desktops come amid that's expected to be a very weak year for computer sales. Desktop shipments are expected to fall by nearly 1/3 globally in 2009, research firm Gartner projected Monday, as consumers increasingly shift to mobile devices. Apple's desktop PC business, which represents about 17% of Apple revenue, has been suffering because the company hasn't significantly refreshed its lineup in over a year, analysts say. The new additions could bolster sales. Kaufman Bros. analyst Shaw Wu said he would have liked to see "more aggressive" price cuts. Apple has continued to gain U.S. market share in the PC market amid its strong-selling laptops and the continuing benefits on computer sales from its iPod and iPhone handheld products. The updates were expected and iMacs have been hard to come by in the last few weeks, according to various Apple resellers. Apple usually lets supplies of products dwindle shortly before an updated version goes on sale.