Apple Introduces New $1,099 21.5-inch iMac Model

Apple on Wednesday released a new lower-priced iMac, with the entry-level 21.5-inch model now starting at $1,099, a $200 drop from the previous entry-level model.

With its reduced cost, the new iMac does make some sacrifices in terms of technical specifications, with a 1.4GHz i5 CPU, 500GB hard drive, and Intel HD 5000 graphics. The new model is also limited in terms of BTO options, with users unable to upgrade the RAM, CPU, or GPU at purchase. Only storage options are available when ordering, with a choice of a 1TB HDD, 1TB Fusion Drive, or 256GB SSD.

While underpowered compared to its counterparts, the new model should be more than capable of meeting the needs of educational and business markets for basic tasks.

The new iMac model is showing immediate availability for online orders and we’ve been told that most Apple Retail Stores will have them in stock today.

Update: Apple has published a press release announcing the new iMac model.