Apple’s faulty chips are big business for the company, and not just in the MacBook Neo

Apple reportedly has a long-running chip binning strategy, reusing chips that miss top-tier QC targets in lower-demand devices.

Examples cited span products from the M1 MacBook Air and iPhone SE to the iPad mini, Apple TV, HomePod, and newer models like iPhone 16e and iPhone Air.

The approach lets Apple cut waste, lower manufacturing costs, and better manage yields and supply across its product lineup.

By redirecting “imperfect” chips instead of discarding them, Apple can protect margins while keeping more devices in production.