Ming-Chi Kuo Casts Doubt on iPhone SE 2, Expects Few Changes Should New Model Launch

[MacRumors]

KGI Securities analyst Ming-Chi Kuo, who has sources within Apple's supply chain in Asia, has issued a research note today that casts doubt on rumors about a second-generation iPhone SE launching in the second quarter of 2018.

Kuo believes Apple doesn't have enough spare development resources to focus on launching another iPhone, with three new models already in the pipeline, including a second-generation iPhone X with a "much different" internal design, a larger 6.5-inch version dubbed iPhone X Plus, and a lower-priced 6.1-inch iPhone with Face ID but design compromises like an LCD screen.

An excerpt from the research note, obtained by MacRumors, edited slightly for clarity:

The announcement of three new iPhone models in the same quarter in the second half of 2017 was the first time Apple made such a major endeavor, and we believe the delay of iPhone X, which had the most complicated design yet, shows that Apple doesn't have enough resources available for development. [...]

With three new models in the pipeline for the second half of 2018, we believe Apple may have used up its development resources. Also, we think the firm will do all it can to avoid repeating the mistake of a shipment delay for the three new models. As such, we believe Apple is unlikely to have enough spare resources to develop a new iPhone model for launch in 2Q18.

If there really is a so-called iPhone SE 2 on Apple's roadmap, Kuo expects it will have few outward-facing changes. He predicts the device would likely have a faster processor and a lower price, rather than iPhone X-like features like a nearly full screen design, 3D sensing for Face ID, or wireless charging.

There have been many rumors about Apple launching a new iPhone SE in 2018, with most of the sources based in Asia, including research firm TrendForce and publications like the Economic Daily News. The latest rumor suggested a new iPhone SE with wireless charging could launch in May-June.

The current iPhone SE looks much like the iPhone 5s, including its smaller four-inch display preferred by a subset of customers. The device is powered by Apple's A9 chip, like the iPhone 6s and iPhone 6s Plus, and it has 2GB of RAM, a 12-megapixel rear camera, a 3.5mm headphone jack, and Touch ID.

Apple hasn't fully refreshed the iPhone SE since it launched in March 2016, but it did double its available storage capacities to 64GB and 128GB last March. It also dropped the device's starting price to $349 last September.

Article Link: Ming-Chi Kuo Casts Doubt on iPhone SE 2, Expects Few Changes Should New Model Launch

 

[alex00100]

Wow, resources is one thing I didn't expect apple to lack.

 

[tmaxxtigger]

Say it ain't so!!

 

[ackmondual]

..... That'd be a shame if true (I don't know how accurate this firm's predictions are). These days, phones are becoming more like tablets, while tablets are getting to the size that laptops are when they started off.

EDIT: typo

 

[Q-Dog]

I'm happy with a newer processor.

 

[0003462]

Unfortunately, the SE as it stands is still good enough for Apple to sell for a third year, just at a lower price point again.

 

[ackmondual]

Wow, resources is one thing I didn't expect apple to lack.

AFAIK, they'd rather wait, and entice more buyers to jump on the Iph8/8+/X bandwagons before giving them that option

 

[TheTruth101]

An iPhone SE 2 would do! iPhone X is an scam. I am keeping mine to remind me I am not inmune in doing very stupid tings in life. The iPhone X is a compilation of things you do not need that you already have... but worse.

I disabled face ID.... it takes too long and is faster to insert the code any way.

The button on the right side has to be combined with the buttons on the left and is confusing, you want to shut down the phone and you end up taking a screen shot and having to click 2 more times to delete that picture and shooting down the phone again. They are not easy to tell which one is what with your fingers.

The only "good" thing is the camera compared to other iPhones BUT Samsung is way superior, that means that for $1000 we are not getting the best on the market at all.

Then... is made of glass, it will break. My iPhone 5 lasted until last December, never had a broken glass and I stopped using because Apple like to sabotage their own technology to make us buy new overrated, crap.

And that was at a glance. Any of the applications running on the X could run on the 5 with no problem. No need for the such new processing or anything, maps still maps, yahoo and google too.

Get the iPhone SE 2, it is smaller, if it has aluminum frame is way better! And that is it.

 

[polee]

Looking forward to get a new SE for myself this year! The current form factor is compelling enough for me and the price is just right.

 

[The Weatherman]

Why would a revamped iPhone 5 monopolize development resources?

 

[sw1tcher]

Wow, resources is one thing I didn't expect apple to lack.

Resources are focused on developing more emojis

 

[icanhazapple]

Nearly $1 trillion market cap, can't make more than four phones. Insanity.

 

[DocMultimedia]

I would think that India has enough people to work on putting updated chips/camera in the SE2.

But I guess Apple has all their people working on the HomePod right now. (yes...that line sarcastic)

 

[justinthesommer]

Why does this guy keep getting quoted as a reliable source. Every time I read one of these articles the guy is wrong or completely absurd. He might get 1 out of every 20 prediction right. MacRumors would be better off quoting one of us.

 

[kazmac]

Slightly better screen, new processor, same battery life & headphone jack and cheaper? Yes, please. If there are minor improvements to the screen and new internal(s) while everything else stays the same, I'd jump.

 

[kiranmk2]

Makes sense - stick in an A11, updated camera and 2nd gen TouchID and get it out the door. The whole point of the SE was that because it reused the iPhone 5s frame it had very low development costs so thinking Apple would 'develop' a new phone to be the low-end didn't seem right. I'm sure it's possible that they could make the SE2 using spare iPhone 6(s) bodies and screens, but this might pull too many people away from the high end phones.

 

[Rogifan]

Wow he’s really throwing crap at the wall hoping something will stick. Interesting too that these rumors come out just a few days before earnings release. Somebody wants the stock lower. And they’re succeeding. Apple stock is down about 7% in the last week or so.

 

[Val-kyrie]

All Apple needs to do is update the processor, RAM (if applicable), and make it 2nd gen TouchID with a 64GB option and it will sell like hot cakes.

 

[tridley68]

I'll stick with the X or OLED X Plus have no use for a se model.

 

[Breaking Good]

Why does this guy keep getting quoted as a reliable source. Every time I read one of these articles the guy is wrong or completely absurd. He might get 1 out of every 20 prediction right. MacRumors would be better off quoting one of us.

I understand what you are saying. But even if he is correct only 5% of the time (1 out of 20), he still has a better track record than most other analysts.

Personally, a new processor would entice me to buy an iPhone SE2.

 

[QCassidy352]

Would be a shame if true. Not all of us want gigantic phones. The SE is a terrific form factor, and it doesn’t need much to remain compelling (A10 or 11, new camera, Touch ID 2 should do it. 3D Touch would be great too).

 

[MrAverigeUser]

Wow he’s really throwing crap at the wall hoping something will stick. Interesting too that these rumors come out just a few days before earnings release. Somebody wants the stock lower. And they’re succeeding. Apple stock is down about 7% in the last week or so.

apple stocks are down because they planned to sell 40 Million iPhoneX and have to stop production - in praying that they will arrive to sell at least half of the overpriced and not-reliable X Model full of useless gimmicks... and they are for sure not at all down because of the opinion that there is "not enough resources to put a new processor in the old iP5 housing"... *LOL*



As for "little changes":
Good news!

(at least for me... )

The next SE will surely come with LCD and not OLED screen!

https://www.macrumors.com/2018/01/29/kuo-casts-doubt-on-iphone-se-2/

Why am I happy about that?

Well - OLED screens today consume more battery life than classic ones.
I prefer a max battery life because for me... aside of the fantastic form factor I want nothing but a well-functioning CELL PHONE, an contact-book, notes, reminders, pdf-function, internet, email-function, a good camera including video, some basic apps, capability to reproduce music, enough GB to store things (at least 128 GB, better 256) or an option for cards (which will never be the case with apple).

AND PRIVACY !!

the resolution of the nowadays SE-screen is far enough, a "better" screen just causes higher costs and (worst) shorter battery life.

Since I protect always my iPhone the "design" of shiny Aluminium is (for me) neither important nor visible.
Since the iPhone 5c with its plastic housing made it at the same time well-protected and a better phone (no faraday-effect) I would also not be disappointed about high.tech-plastic housing.

Plastic is far superior in protecting sensible electronics and optics - I know it since my Canon Macro 100mm (last version with complete plastic high-tech-housing) did fall down a whole long staircase made of concrete - a just worked as before ! a metal housing would have made it unusable.

metal housings are middle-age, high-tech-plastic is 21th century.

@ apple: just take the last/before last processors/gpus, guard the headphone jack and all other equipment, even he very good camera of the old SE (but I´d accept a better one as long as it is completely integrated in the SE2 housing) - and that´s it!
ok - if you make it even better water-resistant, I´d not protest again as well....

The overpriced market-strategy of the iPhone X showed that customers are NOT willing to pay whatever you want us to pay...

https://www.macrumors.com/2018/01/29/apple-halve-iphone-x-production-in-q1-2018/

40 Million X planned, the production will stop at 20 million... so I am hoping apple learnt their lesson - customers are not that stupid...

 

[normang]

I understand what you are saying. But even if he is correct only 5% of the time (1 out of 20), he still has a better track record than most other analysts.

Personally, a new processor would entice me to buy an iPhone SE2.

I don't think he's right even 5% of the time, since these sites so routinely quote him, how about some perspective from the sites on his accuracy, perhaps if they looked, they'd stop perpetually quoting him, the only time he maybe close is when release is near and its harder to hide the details from the supply chain..

 

[Breaking Good]

Makes sense - stick in an A11, updated camera and 2nd gen TouchID and get it out the door.

I agree. I think this would be perfect.

However, as much as I would love Apple to use the A11, it may be overkill for the phones capabilities. I'd be happy if they brought it up to par with the iPhone 7.

What would really be nice is if Apple would apply the same update consistency to all of their products as they do their flagship iPhone. That way people could plan their tech purchases which are a considerable amount of money to most people.

If you want a two year upgrade to the iPhone SE and keep it a generation behind the current flagship, no problem. Just be consistent so people can plan.

 

[HarryWild]

After all, it a budget iPhone, so Apple does not have to improve much is what Ming Chi Kuo saying. I surprise that Apple is still selling the SE model given it new design direction of face ID, edge to edge screens, etc...