CNN
,
Apple’s iPhone 16E debut was surprising for two reasons: First, the company shifted After almost a decade, “SE” away from branding. Then it priced the budget phone more than $ 599 – a notable jump from $ 429 iPhone SE.
The iPhone 16E, which launches on 28 February, is Apple’s latest attempt to diversify its iPhone lineup and prove the company’s 18 -year -old signature product, still appeal to the new audience. The iPhone Apple has a driving factor behind the approximately $ 4 trillion market cap, producing $ 124.3 billion in revenue, which was reported by Apple for its first financial quarter of 2025.
After the launch, Apple’s previous budget phone has seen mixed success.
Data from Market Research firm Consumer Intelligence Research Partners suggests that the iPhone SE only calculated 5% for the sale of US iPhone for the quarter ended December 31, 2024. Globally, the iPhone SE made only 1% of Apple’s iPhone sales last year, according to, according to. To compete with research. The iPhone mini, a small and low expensive model launched in 2020, was cut off from the iPhone family only after two generations.
The high price of iPhone 16E raises the question about whether it will appeal to the budget-minded shopkeepers. But Despite the cost, the new budget smartphone may be attracted to more consumers, mostly because Apple is following a successful strategy with the iPhone XR about seven years ago.
The iPhone 16E has been largely considered as the iPhone S replacement. It has been launched during the same time limit. Apple has historically introduced new SE models, and The company removed the iPhone SE from its online store after the announcement.
But the iPhone 16E is more like the successor of iPhone XR, which was introduced to those with the iPhone XS in 2018 who wanted more affordable devices with similar qualities. With the iPhone XR and now the iPhone 16E, Apple preferred screen size, battery life and performance, instead compromised on camera hardware to cut costs.
That strategy paid with the iPhone XR. According to Counterpoint Research, it was the best selling phone globally in the third quarter of 2019.
Apple did not release a new version of the iPhone XR in 2019. But the iPhone, the next generation of that time, the iPhone 11 gave a lot of indications from the XR in terms of design and pricing.
Although the iPhone 16E is not yet on sale, some analysts believe that it can be more popular than the iPhone SE. This is partly due to its large screen, saying Gerit Shaneman, a senior analyst of the smartphone division of Counterpoint Research. The iPhone 16E has a 6.1 -inch display, the same size to the iPhone 16, while the iPhone SE had a 4.7 -inch screen.
“(Apple) leaves that kind of small form factor and realizes that people are interested in a large performance,” Snyiman said to CNN. “Even if it means abandoning $ 400 entry value.”
Before the iPhone 16E, TF-Chi Kuo, a TF International Securities Analyst Ming-Chi Kuo, known to tap in the supply chain of Apple, predicted that Apple’s next budget phone is compared to the previous iPhone SE ” Will sell a little better.
But due to doubt. At $ 599, the iPhone 16E still commands a high obstacle for admission, especially in comparison Price of some Android phone. And the question is whether the iPhone 16E can be different from the sales of the iPhone 16, as Bank of America analyst Vamsi Mohan wrote to investors in a note on 19 February.
Technology Research CEO Daniel Numan, Daniel Numan, Daniel Namman, Daniel Namman, Daniel Numan, Daniel Namman, Daniel Numan, Daniel Numan, Daniel Namman, Daniel Namman, Daniel Namman, “This device has enough to offer adequate adequate in this device There is $ 600 for a buyer, but it is not offered. Futurum Group, told CNN.
The major iPhones of Apple usually steal the spotlight, and for a good reason. According to data from the market research firm Kantar, the more expensive Pro and the Pro Max models are the most popular globally, a trend that possibly promotes the average selling price of the iPhone to keep Wall Street happy.
But the iPhone 16E can help tap the audience in the audience, which can otherwise choose the option of Old Secondhand iPhone or Android phones. It can also help Apple better competition in the Chinese market, where it faces rivalry from regional brands such as Huawei and Xiaomi.
But perhaps the most important thing is that the iPhone 16E can be important in popularizing Apple’s technologies and apps, especially it tries to increase its services business to reduce its dependence on iPhone revenue. Inserting Apple Intelligence in iPhone 16E means that even those who do not want to pay $ 800 or more for a new phone can reach Apple’s AI tool. Getting Apple Intelligence in the hands of more consumers is important for Google, Microsoft, Samsung and other rivals for the iPhone manufacturer, being all-in on AI.
“Apple really needs to win,” said, “mentioning winning on Android fans and budget phone shopkeepers.” “… its entire AI strategy and its intelligence strategy and its app for the future is really where I think its biggest development opportunity comes.”
