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Apple gives the iMac a facelift

Upgrade adds power, asserts position in computer market

Apple unveiled an upgraded iMac computer with a slimmer design, faster chips, and an aluminum case. Apple unveiled an upgraded iMac computer with a slimmer design, faster chips, and an aluminum case. (David Paul Morris/Getty Images)

CUPERTINO, Calif. -- Apple Inc. unveiled a line of slimmer and more powerful desktop computers yesterday to sustain momentum in its core business at a time when its new phone has grabbed the media spotlight.

The new iMacs, which will sport thinner aluminum casings, have displays measuring 20 inches and 24 inches and will cost $1,199 to $1,799, depending on their configurations, chief executive Steve Jobs said at a media event at Apple's headquarters in Cupertino, Calif.

The cost of the 24-inch iMac has been dropped by $200, and Apple has eliminated the 17-inch iMac computer, Jobs said.

The last update to the iMac line was in September 2006, when Apple first introduced a 24-inch-screen model.

"This product launch should position them well for the back-to-school and holiday seasons," said analyst Shannon Cross of Cross Research.

Apple recently launched the iPhone mobile device in a bid to build a third major product line alongside its Macintosh computers and iPod media players, but desktop and laptop sales still account for nearly half its revenue.

The new iMacs can be fitted with processors running up to 2.8 gigahertz, up to 4 gigabytes of system memory, and up to 1 terabyte of hard-disk space.

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