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It’s called fatigue. Nobody (outside of phone supernerds) is excited by this stuff anymore. It’s a phone. It opens apps. Woopty doo.

Switch to a 2-year cycle, Apple.

I argue that you still need more frequent upgrades to keep up with the technology. B14 and B71 for this year. Which is an issue with selling last year's model on carriers like T-Mobile this year.

My main phone is on ATT, so I can get by with my old X. I don't know whether lacking B14 will affect me, but hopefully if ATT puts B14 on a tower, they will still put supported bands on the tower.

For Verizon, my backup phone, the 7+, is still perfectly usable.
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OP, I think you forgot to mention the size factor. I recall seeing posts here and other places about people complaining that the original X was too big.

I'm happy with the size of the X, but part of that is after a year with the 7+, I needed something smaller. I'm so used to the size now that it would be an adjustment to go to a smaller phone again.
 
A 2-year cycle would certainly make it easier for Samsung and the Androids to compete considering their current crop can’t even equal last year’s A11.
 
The max can be marketed on size, but how do you explain the inherent cost of $250 more of an Xs over an xr?

That’s a fair question, and being that they’re are certain core differences that separate the XS/XR, I think it’s going to vary for everyone why they would want to spend the extra $250 for the XS.

For me, as someone who really appreciates tech, 3D Touch and the dual camera are selling points for me, and I find those two features alone are worth the price tag. Now for others, they may not see/agree with the value or fully understand those two features of why they would want to spend the additional $250.00. I think the XR is more appealing to some because they simply don’t care about 3D Touch and OLED panel, etc. But for those who are more specific of what they want from the XS, the telephoto lens is nice to have when needed, I guess that would be dependent on how someone cares about the camera functionality.
 
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I wish they made a Xr mini (Xe?), with a 4.7 inch screen edge to edge. I found the iPhone X too big and too expensive and this new generation doesn't help with even bigger phones (Xr, Xs max). Coming from an iPhone SE, the only option that seems to make sense size-wise is the iPhone 8 and it is quite a big price jump for a year old technology and quite bigger physical size. I am hoping that Apple listens to small phone users and releases a smaller Xr during the next year, even if the price is pretty high and sits between the iPhone 8 and Xr. Until then, I will stick to my iPhone SE, although the 16GB capacity, lack of water resistance and Touch ID gen 1 are starting to show their age.
 
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For me it wasn’t a $250 difference because I would never get the 64gb. It would be the 256 gb Xs and that makes the difference between the 128gb Xr $350. Throw in 10% tax here in WA and it’s almost a $400 difference. I buy my phones in full so that $400 really hits the wallet a little harder.

It was a easy decision for me.
 
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I am rocking my iPhone 6s, ( Got it from Circket for only 139 dollars 32 gb version)
It is just perfect size and performed very well.
I guess this is the main reason.
 
I got the XR because my 6S Plus was getting long in the tooth & I really wanted the product Red model. Apple usually releases product Red devices long after initial release so I was pleased to get it.

The battery life & ease of use sold me on this device, I find the screen more than acceptable & can manage most tasks with one hand.

Short story, I needed a new phone, XR came with 64GB & in red at at lower price than the other two devices on offer.
 
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