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iPhone SE (2016) Why Apple made the iPhone SE
- Thread starter Seanm87
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I clicked through the first 9 minutes, but the final 2 minutes is interesting and I have not heard that take.
For those not wanting to watch, it essentially says that Apple's strategy all along was to slowly increase phone prices to get android to have their increase their phone prices. Apple knew they would be able to reuse the old iphone bodies and release a phone today (2020 SE) that performed better than the expensive android phones and android phone makers would have no answer. Apple now is the only company capable of releasing these cheaper phones that perform at the level they do.
For those not wanting to watch, it essentially says that Apple's strategy all along was to slowly increase phone prices to get android to have their increase their phone prices. Apple knew they would be able to reuse the old iphone bodies and release a phone today (2020 SE) that performed better than the expensive android phones and android phone makers would have no answer. Apple now is the only company capable of releasing these cheaper phones that perform at the level they do.
Apple's CFO said in 2016, "... we believe that the SE is doing exactly what it was intended, which is we are seeing a higher rate of new to iPhone customers, which is obviously very important to us as we bring new people into the iOS ecosystem." "We added millions of first-time smartphone buyers in the June quarter."
The SE is $399.
In other words, a low-cost iPhone attracts Android users and first-time smartphone users. Where are these Android users coming from? Who are first time smartphone users? Obviously from emerging countries.
The SE is $399.
In other words, a low-cost iPhone attracts Android users and first-time smartphone users. Where are these Android users coming from? Who are first time smartphone users? Obviously from emerging countries.
I would add to that. Parents who normally would by a low end Android for their child as a first phone now have as an option and if they get the kids in the ecosystem that’s where they sell services. And services is where they will make their money back.
I had to laugh at that claim given how it's obviously untrue. If anything, Android manufacturers have become even more competitive since the original iPhone SE.
Xiaomi sells a $169 device with 6.1" OLED, triple rear camera, and in-display fingerprint sensor. And it was launched 10 months ago.
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View Xiaomi errors/404. Check the latest errors/404 products from Xiaomi official site Mi.com .
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Let's not even talk about the $300 5G devices that are now available.
Will the SE2 be successful? Sure, because of the Apple branding. But the SE2 is no more competitive than the original SE was in 2016. The consolidation of Android manufacturers makes the market more competitive than before.
I had to laugh at that claim given how it's obviously untrue. If anything, Android manufacturers have become even more competitive since the original iPhone SE.
Xiaomi sells a $169 device with 6.1" OLED, triple rear camera, and in-display fingerprint sensor. And it was launched 10 months ago.
404 - Xiaomi Global
View Xiaomi errors/404. Check the latest errors/404 products from Xiaomi official site Mi.com .
Let's not even talk about the $300 5G devices that are now available.
To compare any of those phones to the performance of the SE is laughable, just being honest. 5G on a $300 phone is a battery nightmare for starters.
I don't see how you can begin to argue that Android phone makers won't have an answer to the price/performance anytime soon. The only chip option is the snapdragon 865, which includes a 5G modem. That alone prices them out of the SE territory.
Very few consumers care singularly about performance alone. The smartphone is a package experience. The A9 in the SE rocked the world in 2016 and beat every other competitor. So, did it change Apple's market share? We're seeing a repeat of the same strategy in used 2016 and the results will be similar.
Let me introduce you to the Snapdragon 765G with X52. It's been found in sub-$300 5G devices since December.
There are a TON of affordable android phones with great specs. The only one that’s available in North America is the pixel 3a (and upcoming 4a) series. There are phones like the Poco and a boatload of Xiaomi and Huawei phones available in countries like India that we will never see. North America has crappy cheap phones (throwaway Samsung and Motorola being the big ones) and then flagships. We have no midrange here because companies know people will pay big money for a flagship. In competitive countries like India where people don’t make a lot of money, there are a lot of solid phones. I don’t know what $400 translates to in India, but I would be very surprised if the SE makes a ton of sales there. You can get a big amoled screen with multiple cameras for way less than the SE in developing countries. It’s a great deal in North America, but that’s pretty much it. If we had all the $200-$500 android phones here, the SE would lose a lot of it’s luster.
The SE2 sells for $560 in India. Outside the U.S. market, where there are no political barriers against other Android makers, it's simply not competitive.
In India you can get an Android phone with decent specs for much less than iPhone, it may not have FaceID and other cool features but it's not an issue for the average user. SE has much better specs but with dated design with bezels. If compared side-by-side, the average user is likely to pick nearly all-screen phone which is also much cheaper. For their budget, performance is not an issue as long as it can do browsing, messaging and casual gaming. If Apple really wants to compete with Android phones in markets like India then it needs something like SE version of iPhone X.
Another important factor is after-sales support and localization. Google and Android OEMs provides localized versions of their services and tech-support while Apple doesn't even have a single official store providing support and repairs. It's unlikely people will buy an expensive iPhone without any official first-party tech-support.
Another important factor is after-sales support and localization. Google and Android OEMs provides localized versions of their services and tech-support while Apple doesn't even have a single official store providing support and repairs. It's unlikely people will buy an expensive iPhone without any official first-party tech-support.
The big difference between the 2020 SE and the 2016 SE is that flagship phones were still $649 in 2016. Dropping a $399 phone comparable to a $399 phone 4 years ago is not a comp.
Very much agree about outside of the US, I am strictly focusing on the US market.
This says more about the nonexistent midrange market in the US than it does about how great the SE is. Everyone points to the fact the new SE will get 5 years of support. This is true, but what percent of people who buy the new SE will be using it in even 3 or 4 years? I bet it’s well under 50%. The size is nice for people who dislike large phones, but why didn’t they buy an iPhone 8 if they wanted the size so bad. People are getting rid of their X, 11 and even pros for this SE. Most say it’s for the size, but I think it’s mostly due to the cheap price and the fact we like to buy new stuff. I wonder how many people will be thinking about selling this SE for the 5.4” iPhone 12. Once the hype wears off, I am curious where people will be on the SE.
I know a good number of people on here wouldn’t consider an Android phone under any circumstance, but the fact the SE is only a good deal in North America says a lot about our smartphone market here. If you’re into Android, you know how many amazing cheap phones we miss out on. The SE is the only game in town if you want a new iPhone for cheap, but I personally think if you save a few more bucks you get way more value from the xr or 11. If size is #1 to you, I think the 8 or the upcoming 5.4” are the way to go.
Funny you say that. I did in fact change my X for the SE, and I will also make the switch to the iPhone 12 5.4" if true. While it is partially the desire to have something new, I would be lying if I said otherwise. I do like a smaller phone, and outside of the display the SE is better is all other aspects (shockingly even the camera because of the A13 software).
I was always a Nexus fan, and when those went away I really started losing interest in android phones. I have always been interested in the One+. The combo of a Mac/iPhone is really hard to veer away from once you have used it.
I'm not sure how that changes the equation. It's not as if consumers will suddenly feel the SE2 is more competitive because a $999 iPhone 11 Pro exists. Consumers looking to spend $399 will cross-shop with other $399 devices.
For a consumer who wants to keep a phone for 2 years, I think the pixel 4a is the better phone for a lot of people. Camera is WAY better than the SE, and the lower Geekbench scores will not be felt in normal usage. I also think the 4a looks way better. It has a much larger amoled screen. Just like diehard iOS users wouldn’t consider the 4a being better, I don’t think the SE will bring over as many android users as you might expect. The pixel A series camera is something very special.
or decide to forgo flagships all together because they can get 90% of the performance at 1/3 the price. That is something that wasn't possible before.
Seems almost two weird too that they released right around when people started getting $1200 stimuli and it was touch ID in a mask mandated world.
Rumors were swirling about this phone and a March release as of last year.
Because their old phones which were the same size were still working fine when the iPhone 8 was released?
I remember reading an article just this weekend that the average age of phones is ~4 years. That suggests people who own the latest flagships are in the minority.
Also, coming from the iPhone 7, the iPhone SE 2 offers a bigger performance improvement ergo longevity over the iPhone 8. At this point in time, why even bother with the 8 when the SE 2 is already available at a low price? Chances are battery on used 8s are degraded already and will be a $49+tax fix sooner rather than later.
The upcoming 5.4" is still that, upcoming. With Corona, who knows when it will actually get released. When it's announced, that's when I'll make the decision if I'm going to keep the SE 2 or upgrade.
Do you really think most consumers care about Geekbench scores?
During the 2019 iPhone launch presentation, Apple spent about 5 minutes talking about A13. Guess how they spent the remaining 50 minutes? Low-light photos, ultra-wide angle photos, displays, speakers, battery capacity. Things that consumers actually care about.
Cook just mentioned the smaller form factor as a selling point (at the 2Q conference): "I have seen a strong customer response to iPhone SE, which is our most affordable iPhone. Those customers appear to be coming from wanting a smaller form factor with the latest technology, or coming from Android. …As opposed to 'buying down'."
Their strategy worked on me. I held out for a long time, but iOS has matured, while Android has stagnated. This release is the open door I've been awaiting, to jump ship.
Moto Droid -> Droid Bionic -> Galaxy S3 -> Galaxy S8 -> iPhone SE
You make One valid point and the other one is untrue.
iOS has matured to the point where Apple could do nothing, and it would still be favored because of how fluid and simplistic it is to use.
Where are your incorrect, android isn’t stagnated, as matter of fact, it’s a complete opposite. Androids continued improvements for User customization Has never been stronger. It’s one of the main things Apple is missing, is widgets that android actually has over iOS.
Plus, some of the phones you have listed for Android, are quite outdated in terms of its OS, which if you’re using some of the latest galaxy devices, you’d see exactly what I’m referring to.