Apple will not be launching a successor to its iPhone SE come March 2017, according KGI Securities analyst Ming-Chi Kuo in an AppleInsider report. Kuo’s sales numbers on the iPhone 7 shows a trend of falling sales, with the primary factor being the weak demand for the phone in China and slow shipments expected in Q1 of 2017.
It is suggested that Apple is not giving the iPhone SE a bigger lease at life, but instead plans to use the lack of a new 4-inch variant to boost sales of the flagship 4.7-inch and 5.5-inch devices. Considering that Apple’s flagships are much more expensive than the SE, the company’s profit margins are higher with those phones as well.
Apple launched the iPhone SE in March of 2016, breaking its annual iPhone launch cycle that happens in September. Driven by the fact that many customers using the smaller form (4-inch) iPhone 5 and iPhone 5s were reluctant to move on to the larger iPhone 6, 6s and iPhone 6 Plus, 6s Plus – Apple decided to launch a new 4-inch phone with update specs.
Even while reports have suggested that the iPhone SE received a greater reception than what Apple expected, the Cupertino giant however (according to Kuo) sees ‘lower than expected gross margin’ with the device. Kuo added that Apple is pressurising its component manufacturers to reduce price of production in order to drive up its own margins.
A recent report by MBO Capital Markets analyst, Tim Long said that Apple has more than 100 per cent of smartphone industry profits in Q3 2016. Long suggested that Apple ends with “more smartphone profit than the industry netted overall”, while its vendors lose money.
Apple iPhone SE carried forward the form factor of the iPhone 5s with a 4-inch IPS LCD display. The phone however runs better hardware, which it borrows from the iPhone 6s series. iPhone SE is powered by an Apple A9 chipset coupled with a six-core PowerVR GT7600 GPU. It comes with 2GB RAM and storage options of 16/64GB.
The iPhone SE uses the same 12MP, f/2.2 aperture camera as on the iPhone 6s (with dual-LED flash), but features a 1.2MP front shooter carried forward from the iPhone 5s. The SE supports Apple Pay and comes with a faster fingerprint scanner. The phone however doesn’t get Apple’s 3D touch.
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