Whenever the Apple store goes down, it is usually a sign that the company is launching a new product or refreshing its current line. Today Apple quietly launched a cheaper iMac in order to compete with other All in One PC's on the market.
The “new” iMac comes in at $1099, which is $200 less than its usual starting point. The 21.5 inch All in One will feature a low clocked Intel Core i5 CPU, coming in at 1.4GHz. If you want a faster processor then you'll have to fork out $1299 instead but it will get you a much faster 2.7GHz CPU.
Aside from the CPU clock change, everything else in the new base model remains the same as the $1299 option, including RAM and HDD space. However, you will not be able to upgrade from 8GB of RAM when purchasing. The cheaper iMac will help Apple compete more aggressively with HP, Dell and Lenovo amongst other OEMS.
It's not often that Apple actually makes something cheaper but it has come at a pretty big performance cost. 1.4GHz down from 2.7GHz is quite a drop, although it remains to be seen how much of a difference the clock speed will make.
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KitGuru Says: For the few of you that are looking for a Mac for general use then you have two pretty good options. The Macbook Air is fairly cheap in comparison to the rest of Apple's lineup and this cheaper iMac is also an option. However, if you have your own monitor, then buying the highest end Mac Mini might make more sense as it will be more cost effective.