Apple's Upgraded MacBooks Fall Short

Shares of Apple (AAPL Quote) continued to slide Wednesday as questions persist about the company's long-term laptop strategy.

The company tried to ease investor worries Tuesday when it introduced a line of upgraded laptops, a new aluminum casing technology and a break on prices, including an entry-level MacBook for under $1000.

One analyst, however, warned that Apple didn't slash prices far enough. "The entry-level $999 MacBook price point may be insufficient to offset competition ($500-$800 laptops) and mitigate the risk of headwinds from slowing consumer spending," said Mike Abramsky of RBC Capital Markets in a research note on Wednesday.

Apple faces stiff competition in the entry-level category from Dell (DELL Quote), H-P (HPQ Quote), and Lenovo, which offer mini-laptops for $500 and less. ...