The Apple IIe is the third model of the Apple II series of computers. The e stands for Enhanced to emphasize several upgrades from earlier models. The main upgrade is the full ASCII characters set and the ability to use lower-case letters on the keyboard. The keyboard also included editing keys and four-way cursor control keys. The infamous REPT key had been removed, keys now repeated themselves after prolonged hold down.

The machine came with 64KByte of RAM standard, and had extra slots for adding more RAM that could be acessed through a bank switching scheme.

The 6502 is an 8-bit MicroProcessor designed by MOS Technology. The team was led by Chuck Peddle and had also worked on the Motorola 6800. The 6502 is a simplified, but faster and cheaper design than the 6800.

The 6502 was introduced in 1975 and was the cheapest microprocessor on the market. Together with the Zilog Z80, the 6502 helped start the home computer revolution of the 1980s. The 6502 was used in a wide range of devices: the Atari 2600, the 8-bit Atari home computers, the Apple II, the Nintendo Entertainment System, the Commodore 64, the BBC Micro and many others. All used the 6502 or a variation of it.

The 6502 is a 1MHz design, while the 6502A is designed for 2MHz. The 6502A is 100% compatible with the original 6502.

Commodore soon bought MOS Technology, but conitnued to sell the microprocessor to competitors and licensed the design to other manufacturers.