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June 7, 2019

Apple turns heads with $12,000 Mac Pro, but for the wrong reasons

By GlobalData Technology

Apple is pushing prices up with its latest release of the Mac Pro desktop, putting it out of reach of core audiences.

Apple introduced “the most powerful Mac Pro ever made” – after the disappointing can-shaped Mac Pro of 2013 – at the Worldwide Developers Conference (WWDC) in California, US, in early June 2019,

Mac Pro WWDC 2019

Video editing and processing capacity were among the upgrades for the new Mac Pro, as well as a cooling system for CPU, GPU and the hard drive. Prices for the new desktop computer will start at $5,999, with a display costing $4,999 and the cost of the stand at $999, making the computer one of the most expensive all-in-one pieces of hardware.

The target audience for the new computer will include graphic designers, who can make most of the hardware. Apple is targeting big corporations involved in graphic designing, such as Ubisoft or Konami.

Yet the target audience does not yet need such a product. Many industries using advanced technology, such as gaming developer companies, do not make products advanced enough to make the new computer worthwhile purchasing.

Graphic design companies requiring powerful computers for employees are unlikely to pay the base price for the new Mac Pro, mostly because gaming consoles or displays that support 6k gaming do not yet exist.
Some end-users have already expressed disappointment with the new Mac Pro, saying there are cheaper alternatives on the market that offer the same performance, but at a reduced cost.

Because there are no 6k videos or video games currently on sale, the new screen is at present redundant in the mainstream market. At best, all consumers could do is to watch 4k videos on a 6k display costing $5,000, whereas a $1,000 display would do the same job.

Over-priced new Mac Pro will hurt the company in the long-run

Apple risks losing money despite the high-performance specification, meaning Apple could lose its Mac Pro client base.

However, Apple is creating a market for itself, making it crucial for the Mac Pro to operate a $5,000 display and a $1,000 stand. But few consumers will be willing to spend that amount of money, limiting the product to ‘hard-core’ and wealthy consumers.

This makes the new Mac Pro a luxury product which might be appealing to consumers who want to state their social status by purchasing the new Mac Pro.

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GlobalData tracks real-time data concerning all merger and acquisition, private equity/venture capital and asset transaction activity around the world from thousands of company websites and other reliable sources.

More in-depth reports and analysis on all reported deals are available for subscribers to GlobalData’s deals database.

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