Apple's iMac strategy doesn't make sense. The iMac used to be a top-of-the-line computer, but now they want you to buy a Mac Studio with a separate display that costs as much as an iMac.
As far as the iMac is concerned, there is no way I would go from a gorgeous 27-inch 5K display to a 24-inch 4K display. The smaller iMac is not intended for pro users. It would make a good family computer, but the lack of x86 compatibility is a serious drawback.
The M3 Pro chip benchmarks are almost the same as the Ryzen 9 7940hs computer I paid just $640 for. The base model M3 iMac starts at $1299.
Apple can only charge so much because, for some unfathomable reason, people are still buying their products.
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