Why couldn't they just've called it Macbook, instead of Macbook Neo?
This already happened in 2015, they probably don't want for it to happen again.
If you were to align the MacBook line with iPhone line logically this would be an ‘e’ class device, the Air would just become the MacBook, pro remains pro, and there would be a nice gap for a new ultra light MacBook Air, a modern Apple silicon version of the 12” MacBook - expensive, small and fast, analogous to iPhone Air.
Also new names are fun. This name is a fun name. Nice to see some playfulness from Apple.
I think they got just cheaper marketing since jobs died. No focus or brand protection.