Apple Will Update Its MacBook Lineup In Response To Microsoft's New Products

Microsoft Corporation MSFT announced in early May a new lineup of Surface laptops that will start selling at $999. The sleek-looking laptop boasts advanced features, but the company's biggest hardware rival, Apple Inc. AAPL, has responded in kind.

According to a Bloomberg report, Apple will release three new laptops of its own. The publication, citing "people familiar with the matter," suggested Apple will equip its MacBook Pro with a faster Kaby Lake processor and also introduce a new version of the 12-inch MacBook with faster chips.

Apple could also update its 13-inch MacBook Air with a new processor.

Who Needs A Laptop Rivalry?

For many tech investors, talk of a renewed Microsoft versus Apple rivalry in hardware products is a bit surprising.

On the one hand, Apple's Mac lineup accounts for just 11 percent of its total annual sales and comes at a time when all the focus is on the upcoming iPhone release. On the other hand, Apple can't forget its faithful fans as it has been many years sine a notable update to its laptops has been made.

For Microsoft, the company's future is clearly in the cloud, not hardware. Analysts at Bernstein said on Tuesday the company's shift to a cloud services and subscription revenue business makes it better than other mega-cap companies at earning cash.

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