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It’s been tougher than expected, but so far so good. I haven’t upgraded, but the force is strong. Full disclosure: if the Max was cheaper, I would have already upgraded.

I’m on the fence of upgrading my X to the XS Max. So far I haven’t taken the plunge yet. Trying to hold out until next September.
 
I’ve had large phones for a while now. Recently I got another iPad so I was trying to figure out what I wanted to do. While swapping phones around I was forced to use a spare SE I had laying around for about two weeks while I had phones be shipped all over the place. That was a deciding factor for me. I got the XR and it is a great device. My wife wanted it and I just got the XS. Using the SE I forgot how much easier it was to use one handed and wanted a smaller device again. I had my iPad for media when on the go and can comfortably use the XS easily. Hopefully now I can stop swapping phones for a while.
 
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Yes, personally I think they might. As the 6/7/8 design fades out, the range is definitely skewed toward very large phones. I would not be surprised to see a new 7 in the spirit of the SE. Re-use the old 7 chassis to take advantage of depreciated tooling (maybe move assembly to India - Apple strategically need to assemble something there, which used to be the SE), add the latest A-series chip (remember the SE launched with the A9 which at the time was the latest generation), leave out some features to cut costs and maintain differentiation of the top end phones (eg no wireless charging, a lesser camera), launch around March 2020 as the iPhone 8 starts to get long in the tooth....

I like your reasoning, and I hope you are correct. A full screen iPhone 7 with no change to case size would still be a one handed phone and would fit into many more pockets, an important criteria for many.
 
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