Apple Inc. updated its line of Macintosh desktop computers with more capabilities but kept price cuts modest despite the drastic decline in consumer spending.

The Cupertino, Calif., company lowered the price on its 24-inch iMac by about 17% to $1,499 from $1,799, but it kept the price of its entry-level 20-inch model unchanged at $1,199.

Apple added more features to all of its models such as faster processors, more memory and the latest graphics technology, as it stuck largely to its strategy of providing more value for the same price.

Some analysts said they were disappointed that there were no major changes in design and that the price cuts weren't bigger.

'They're drawing a hard line that they're not going to change their pricing strategy just because the economy is bad,' said Gene Munster, an analyst at Piper Jaffray. He added that the pricing 'seems pretty consistent with what they've done historically.'

The new Macs come amid what is expected to be a tough year for computer sales. Desktop-computer shipments in particular are expected to fall by nearly one-third globally in 2009 as consumers increasingly shift to laptop computers, according to projections released by research firm Gartner Inc. on Monday.

Analysts worry that sales of Apple's computers, which usually cost hundreds of dollars more than those of competitors, will be hurt because their premium price tag isn't resonating with recession-weary consumers who care more about lower prices than extra features.

Apple's desktop-PC business, which represents about 17% of revenue, has been suffering because the company hasn't significantly refreshed its lineup in more than a year. Apple's desktop shipments fell 25% in the December quarter while laptop shipments rose 34%.

So far, however, Apple has continued to gain share in the U.S. PC market, and it reported flat Macintosh revenue in the December quarter, even as other PC makers reported steep declines.

Apple Tuesday also introduced a new $599 version of its Mac mini, a stripped-down desktop that is sold without a screen or keyboard, and a new high-end Mac Pro desktop. The new Mac Pro starts at $2,499, or $300 less than the prior model.

The product announcements were made in a press release, rather than the special events the company typically hosts with Chief Executive Steve Jobs, who is on a medical leave.

Yukari Iwatani Kane / Kevin Kingsbury