Connect with us

Published

on

2020 MacBook Air with M1 chip
Todd Haselton | CNBC

Apple is holding a launch event on Monday to announce new products, like a redesigned MacBook Pro.

Apple has a chance to drive continued momentum to its Macs ahead of the holiday shopping season, especially since it’s expected to announce more computers that run on its own chips instead of Intel’s processors.

Recent computers that run on the company’s powerful M1 processor have “fueled” Mac growth, Apple CEO Tim Cook said in June. In the most recent three quarters ending in June 2021, Apple sold $26 billion in Macs, up nearly 33% from the $19.59 billion it sold in the same period last year. “In fact, the last three quarters for Mac have been its three best quarters ever,” Cook said in June.

Before the pandemic, which drove new computer sales, many customers and analysts worried Apple was neglecting the Mac in favor of newer, faster-growing businesses like its Apple Watch and iPhones. But Mac computers remain essential for Apple. It’s only possible to develop iPhone apps on a Mac through Apple’s Xcode software, for example, and Mac remains a larger business than iPad.

Last month, Apple announced and subsequently released new iPhones, iPads, and Apple Watches, leaving Apple’s line of Macs as the remaining major product line that hasn’t been updated this fall. The larger 16-inch MacBook Pro, Apple’s highest-end laptop, hasn’t been updated since 2019 and currently uses Intel processors instead of newer Apple chips.

Here’s what to expect on Monday.

A completed transition

If Apple announces new MacBook laptops on Monday, it will be the culmination of a two-year transition to completely revamp the entire Mac lineup.

Since 2019, Apple has been replacing Intel processors inside Macs with its own processors, called M1, which provide longer battery life and allow Apple to more tightly integrate its hardware and software. Apple’s chips also enable new features while still providing enough power to run demanding applications.

So far, Apple has released four different Macs using its new chips: The MacBook Air, the Mac Mini, the 13-inch MacBook Pro and the redesigned 24-inch iMac.

Apple is likely to emphasize the advantages of its own chip, as it has done during the past several Mac launch events. Expect a new name for the M1 chip if Apple makes significant performance improvements. It could call it the M1X or M2, depending on how Apple wants to market the processor improvements.

Apple has reportedly been prepping a redesign for its high-end MacBook Pros with its own chips and new ports, including space for an HDMI cable to connect the laptop to monitors, and a magnetic charger, according to Bloomberg. Also in the works is an iMac with a bigger screen and a Mac Mini desktop with more power, according to the report.

On Monday, Apple is also likely to provide a release date for macOS Monterey, the latest version of the Mac software, which was announced in June but has not yet been officially released.

More ports

Touch bar on the 2020 13-inch MacBook Pro
Todd Haselton | CNBC

Apple’s Mac growth has also been driven by changes the company has made to address some longstanding consumer issues with some products.

Between late 2017 and the second fiscal quarter of 2020, Apple reported eight out of 10 quarters of flat or negative annual growth in its Mac business. Growth started taking off in 2020.

In 2015, Apple introduced a thinner keyboard design for its laptops, often called “butterfly keyboard.” In the coming years, the thinner keyboard became standard in Apple’s line of laptops.

But the keyboard was plagued by reports that it was unreliable, and that crumbs or dust could make certain keys “sticky” and fail to register or type certain letters twice. Apple has an ongoing service program to fix malfunctioning butterfly keyboards manufactured from 2015 through 2019 for free. It’s also facing a class-action lawsuit over whether it knew that the keyboards were defective.

During this period, the biggest new feature addition to Apple’s laptops was the Touch Bar, a strip of touchscreen that replaced the function keys. However, many users found it frustrating and less useful than regular keys. Software developers never flocked to create software for the touchscreen, and Apple’s recent M1 MacBook Air doesn’t have it.

Simultaneously, Apple significantly reduced the number of ports on its laptops, streamlining them into a few USB-C connectors. Users complained that they needed adapters, often called dongles, to attach things like mice and external monitors to the laptops, which sometimes used older USB-A connections. The dongles that Apple made were expensive, often costing more than $20 per adapter. The company temporarily slashed prices on adapters in 2016 after users complained.

That could change on Monday. Apple’s new MacBook Pro design could include an HDMI port for connecting the laptop to external monitors or TVs, an SD card port for photographers, and a new version of its MagSafe magnetic charger, addressing many complaints from professional users, according to Bloomberg. Apple’s 2017 MacBook Air was the last laptop to feature MagSafe charging, even though customers liked it.

Apple has started to reverse some of the Mac design decisions it made over the past decade. The M1 MacBook Air and 13-inch MacBook Pro now have a more traditional keyboard with deeper keys. Both computers have received positive reviews. The laptops still use USB-C ports for charging, but Apple’s new iMac desktop, the first redesign since 2015, has a new kind of magnetic power adapter.

A surge in PC sales

Apple iMac M1 2021
Todd Haselton | CNBC

Apple’s Mac business has been boosted by a global surge in PC sales during the Covid-19 pandemic as schools, businesses, and individuals bought new laptops and desktops to go to school or work from home.

Earlier this year, at its peak, PC sales (including Windows) had their highest year-over-year growth in 20 years, according to research firm Gartner. Research firm IDC said PC sales jumped 55% year-over-year in the first quarter. Analysts covering the PC industry and component makers said at the time that they were optimistic that there had been a permanent shift in PC sales trends.

But the pandemic-related PC surge may be coming to a close. In the third quarter, typically a boom time because of back-to-school sales, the U.S. PC market shrunk for the first time since the first quarter of the pandemic, according to market researcher IDC.

Apple’s computer shipments grew 10% during the third quarter, according to IDC, but the pandemic trends that lifted all manufacturers seem to have slowed significantly. Before the pandemic, PCs were one of the slowest-growing tech markets, with several years of flat growth in the past decade.

Apple hopes shiny new Macs can buck that trend.

Continue Reading

Technology

AI voice startup ElevenLabs pushes global expansion as it gears up for an IPO

Published

on

By

AI voice startup ElevenLabs pushes global expansion as it gears up for an IPO

Founded in 2022, ElevenLabs is an AI voice generation startup based in London. It competes with the likes of Speechmatics and Hume AI.

Sopa Images | Lightrocket | Getty Images

LONDON — ElevenLabs, a London-based startup that specializes in generating synthetic voices through artificial intelligence, has revealed plans to be IPO-ready within five years.

The company told CNBC it is targeting major global expansion as it prepares for an initial public offering.

“We expect to build more hubs in Europe, Asia and South America, and just keep scaling,” Mati Staniszewski, ElevenLabs’ CEO and co-founder, told CNBC in an interview at the firm’s London office.

He identified Paris, Singapore, Brazil and Mexico as potential new locations. London is currently ElevenLabs’ biggest office, followed by New York, Warsaw, San Francisco, Japan, India and Bangalore.

Staniszewski said the eventual aim is to get the company ready for an IPO in the next five years.

“From a commercial standpoint, we would like to be ready for an IPO in that time,” he said. “If the market is right, we would like to create a public company … that’s going to be here for the next generation.”

Undecided on location

Fundraising plans

ElevenLabs was valued at $3.3 billion following a recent $180 million funding round. The company is backed by the likes of Andreessen Horowitz, Sequoia Capital and ICONIQ Growth, as well as corporate names like Salesforce and Deutsche Telekom.

Staniszewski said his startup was open to raising more money from VCs, but it would depend on whether it sees a valid business need, like scaling further in other markets. “The way we try to raise is very much like, if there’s a bet we want to take, to accelerate that bet [we will] take the money,” he said.

Continue Reading

Technology

U.S. lifts chip software curbs on China amid trade truce, Synopsys says

Published

on

By

U.S. lifts chip software curbs on China amid trade truce, Synopsys says

Synopsys logo is seen displayed on a smartphone with the flag of China in the background.

Sopa Images | Lightrocket | Getty Images

The U.S. government has rescinded its export restrictions on chip design software to China, U.S.-based Synopsys announced Thursday. 

“Synopsys is working to restore access to the recently restricted products in China,” it said in a statement

The U.S. had reportedly told several chip design software companies, including Synopsys, in May that they were required to obtain licenses before exporting goods, such as software and chemicals for semiconductors, to China. 

The U.S. Commerce Department did not immediately respond to a request for comment from CNBC.

The news comes after China signaled last week that they are making progress on a trade truce with the U.S. and confirmed conditional agreements to resume some exchanges of rare earths and advanced technology.

Continue Reading

Technology

Datadog stock jumps 10% on tech company’s inclusion in S&P 500 index

Published

on

By

Datadog stock jumps 10% on tech company’s inclusion in S&P 500 index

The Datadog stand is being displayed on day one of the AWS Summit Seoul 2024 at the COEX Convention and Exhibition Center in Seoul, South Korea, on May 16, 2024.

Chris Jung | Nurphoto | Getty Images

Datadog shares were up 10% in extended trading on Wednesday after S&P Global said the monitoring software provider will replace Juniper Networks in the S&P 500 U.S. stock index.

S&P Global is making the change effective before the beginning of trading on July 9, according to a statement.

Computer server maker Hewlett Packard Enterprise, also a constituent of the index, said earlier on Wednesday that it had completed its acquisition of Juniper, which makes data center networking hardware. HPE disclosed in a filing that it paid $13.4 billion to Juniper shareholders.

Over the weekend, the two companies reached a settlement with the U.S. Justice Department, which had sued in opposition to the deal. As part of the settlement, HPE agreed to divest its global Instant On campus and branch business.

While tech already makes up an outsized portion of the S&P 500, the index has has been continuously lifting its exposure as the industry expands into more areas of society.

DoorDash was the latest tech company to join during the last rebalancing in March. Cloud software vendor Workday was added in December, and that was preceded earlier in 2024 with the additions of Palantir, Dell, CrowdStrike, GoDaddy and Super Micro Computer.

Stocks often rally when they’re added to a major index, as fund managers need to rebalance their portfolios to reflect the changes.

New York-based Datadog went public in 2019. The company generated $24.6 million in net income on $761.6 million in revenue in the first quarter of 2025, according to a statement. Competitors include Cisco, which bought Splunk last year, as well as Elastic and cloud infrastructure providers such as Amazon and Microsoft.

Datadog has underperformed the broader tech sector so far this year. The stock was down 5.5% as of Wednesday’s close, while the Nasdaq was up 5.6%. Still, with a market cap of $46.6 billion, Datadog’s valuation is significantly higher than the median for that index.

— CNBC’s Ari Levy contributed to this report.

CNBC: Datadog CEO Olivier Pomel on the cloud computing outlook

Datadog CEO Olivier Pomel on the cloud computing outlook

Continue Reading

Trending