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But do people looking for a cheaper phone need a LOT more than they were getting with the old SE?

I much prefer smaller phones and love my SE (except for the crappy battery life).

That said, majority of consumers prefer bigger phones so the screen size is likely already a big win for the 16e.

I do think $499 is a much more attractive price tag for the entry level iPhone though. Maybe it'll get there next year.
 
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Interesting thought / possibility

Since 16e is not SE in name and pegged to iPhone 16 gen maybe it will be $499 in the fall when iPhone 17 is the latest and regular iPhones 16 non pro drop $100 as well

They’re just going to capture sales for 6 months at 599 and milk it until then
 
Interesting thought / possibility

Since 16e is not SE in name and pegged to iPhone 16 gen maybe it will be $499 in the fall when iPhone 17 is the latest and regular iPhones 16 non pro drop $100 as well

They’re just going to capture sales for 6 months at 599 and milk it until then

Here's hoping.
 
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Interesting thought / possibility

Since 16e is not SE in name and pegged to iPhone 16 gen maybe it will be $499 in the fall when iPhone 17 is the latest and regular iPhones 16 non pro drop $100 as well

They’re just going to capture sales for 6 months at 599 and milk it until then
I could see customers being upset about that but Apple probably doesn’t care.
 
Interesting thought / possibility

Since 16e is not SE in name and pegged to iPhone 16 gen maybe it will be $499 in the fall when iPhone 17 is the latest and regular iPhones 16 non pro drop $100 as well

They’re just going to capture sales for 6 months at 599 and milk it until then

Maybe just a $50 drop. It would still make customers think carefully when it's $549 vs. $699.
 
No and this is what the $499 crowd doesn’t get

The 3rd Gen SE 128 GB Version was $479 brand new

……

And yet they wanted all the upgrades for $20 more than the 128GB SE3 🤦‍♂️ 🤦 🤦‍♀️

Plus the 16e is priced the same as the 128GB 14 brand new before it got replaced hence the 16e is a fusion of two iPhones into one ( and this is obviously not the first time it has happened and not the last)
 
Yes, Apple could have priced it at $500. Apple has a net profit margin somewhere in the 25 - 30% range. Assuming Apple has similar margins on this as all products and services (likely lower with this phone because of the costs of the C1 development and the switch to a new design -- plus that net margin includes high margin services), that means it costs Apple about $435 to make this phone. A $500 price would give Apple about a 13% profit margin.
 
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