if you can get the same performance iPhone 14 At about half the price, don’t you think it’s worth it? Apple may scrap the next version of his wallet-friendly iPhone SE, according to analyst Ming-Chi Kuo.
“The supply chain has received instructions from Apple indicating that the 2024 iPhone SE 4 production and shipping plans have been canceled rather than delayed,” Kuo said. I wrote in Medium Post January 6th.
If Kuo’s prediction is correct, only Apple knows the reasons behind the cancellation. But according to research and media reports, there may be a very simple answer. More expensive iPhone models tend to be more popular, and there may be little incentive for Apple to continue pursuing cheaper phones like the iPhone SE.
Apple did not respond to CNET’s request for comment.
The third-generation iPhone SE, which debuted in March and starts at $429, is essentially an iPhone 8 with the guts of the iPhone 13. His iPhone SE (2022) reviewbut he also highlighted the missing elements that make it feel dated, such as the camera’s full-screen design and lack of a night mode.
The previous generation iPhone SE took a similar approach.of 2020 edition It was basically the same design, but with the iPhone 11 chip.of 2016 model The iPhone 6S processor is installed in the body of the iPhone 5S. The rumored 4th generation iPhone SE was expected to feature a new design similar to the iPhone XR, according to YouTube personalities and gadget leakers. John Prosser.
To understand why Apple canceled the upcoming iPhone SE, consider the changes Apple recently made to its iPhone 14 lineup. Unlike the past two years, Apple didn’t release a cheaper “mini” version of its new flagship iPhone in 2022. Instead, it released a larger version of the regular iPhone 14 called the iPhone 14 Plus. This is $100 more expensive. Higher than the regular $799 iPhone 14, and a higher barrier to entry for shoppers.
This change Nikkei Asian Review and Kuo (via McRumors) says Apple will scrap the iPhone Mini in 2022, the former adding that the Mini model didn’t resonate with consumers. Taken together, the discontinuation of the Mini and reports that next year’s rumored iPhone SE may be discontinued could indicate that Apple is moving away from releasing smaller, cheaper iPhones.
But Gene Munster, a managing partner at technology investment firm Loup and a longtime Apple analyst, doesn’t see it that way. He believes the iPhone SE will still play an important role in Apple’s lineup due to its low price.
“Still, when it comes to the iPhone, I think it’s the best value for your money,” he said.
Apple is rumored to scrap the iPhone SE next year (pictured) due to high demand for more expensive phones like the iPhone 14 Pro and Pro Max (pictured).
James Martin/CNET
Evidence suggests that more expensive iPhones tend to be top sellers, which may help explain the shift. According to Apple, the average selling price of iPhones is up 7% year-over-year in the third quarter of 2022. counterpoint researchThe market research firm also reported in June that: Apple dominates the world market For premium phones with 62% share in Q1 2022. It’s important to note that Counterpoint defines premium phones as devices priced at $400 or more. However, the report says that Apple’s growth in the premium category is largely due to the iPhone 13 lineup.
The more expensive iPhone 14 Pro and Pro Max also seem to be the stars of Apple’s new smartphone lineup so far. information While Apple reported that it cut production of the iPhone 14 Plus within two weeks of its launch, the research firm trend force Apple says it has ramped up production of the iPhone 14 Pro and Pro Max.Kuo too said on Twitter In September, the iPhone 14 Pro Max accounted for about 60% of the increase in orders for Apple’s Pro lineup, suggesting that Apple’s most expensive new iPhone is the most popular. According to his November 2022 report for Wave7 Research, 38 of his 39 careers surveyed his service reps said they didn’t have an iPhone 14 Pro or Pro Max in stock in stores. I’m here.
The iPhone SE, on the other hand, has accounted for only about 5% to 8% of U.S. quarterly iPhone sales over the past two years, said Josh Lowitz of Consumer Intelligence Research Partners. Munster said that when looking at total sales of his latest iPhone models in a given year, the Pro version typically accounts for 35% to 40% of his sales, while the iPhone SE accounts for about 20%. .
carrier discount And like my colleagues, it’s now easier to get high-end phones at cheaper prices, especially when you trade in older devices. Eli Blumenthal pointed out After the launch of the iPhone 13. Many U.S. shoppers pay for their mobile phones on monthly installment plans through their carriers, making it easy to swallow high prices. Both of these factors make it even harder to buy a cheap iPhone with fewer features.
“A $100 price difference per month, or even a $200 price difference per month, isn’t that much when you’re making payments over such a long period of time,” says Lowitz.
At the same time, Samsung is thriving in the low-cost mobile phone market. According to Counterpoint Research data previously provided to CNET, Galaxy A phones are typically hundreds of dollars cheaper than flagship Galaxy S phones and account for his 58% of Samsung’s smartphone sales in 2021. was Samsung’s Galaxy A phones often run on less powerful processors than Samsung’s pricier phones, but they do come with modern features not found in the iPhone SE, such as cameras with multiple lenses and larger screens. It has the function of
The idea that Apple may have canceled the 2024 iPhone SE raises questions about the future of the SE line in general. Apple will extend his SE brand to the Apple Watch for the first time in 2020, launched a sequel to that product in September.
iPhone SE (2022): Apple’s cheap phone brings 5G to classic design
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The fact that Apple brought the SE line to a separate product made the SE seem like a more permanent fixture in Apple’s lineup. , the days of the iPhone SE may be coming to an end. And if you take a closer look at how Apple’s smartphone lineup has changed, and data on phone shipments, it’s easy to see why.
But Münster isn’t convinced cheap iPhones like the SE will go away forever. Providing more affordable options helps Apple achieve its broader goal of drawing more customers to the web of its products and services.
“I think it plays an important role,” he said. “I don’t think Apple is giving up on that price range.”
