Apple has reportedly already cut its production plans for the iPhone SE by 20 percent


While high-end products like the PlayStation 5 and graphics cards are still in high demand, the same cannot be said for lower-cost alternatives that are easier to manufacture. Nikkei Asia reports that Apple will be making 20% fewer iPhone SEs in the next quarter and 10 million fewer AirPods for the entire year of 2022 than originally planned. According to noted analyst Ming-Chi Kuo in a note, Apple is expected to ship 15 to 20 million SEs in 2022 instead of his previous estimate of 25 to 30 million (a decrease of 22 to 66 percent for the year), according to noted analyst Ming-Chi Kuo in a note.

Apple’s decision to scale back its production isn’t being blamed on supply chain problems or chip shortages, which have bedevilled much of the electronics industry. This is because demand for Apple’s latest low-cost phone has been weaker than expected, according to the analysts.

For a variety of reasons, it is possible that the iPhone SE will be less appealing to consumers than the iPhone SE. Concerns about the Ukraine conflict and inflation are cited by Nikkei, while COVID lockdowns in China are brought up by CNBC, making it more difficult for Chinese consumers to get a new phone. Based on my personal experience, people who buy iPhone SEs aren’t necessarily the types to upgrade as soon as a new model is released. Even when gas is $4 to $6 a gallon, they may be significantly less likely to do so.

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The phone itself is also more expensive — the new SE costs $30 more than the previous generation, apparently due to 5G. That reduces the price gap between it and, for example, an iPhone 12 or 13 Mini (and the Mini lineup is already what the iPhone SE should be).

However, when it comes to monthly payments, the Mini is significantly more expensive than the regular model. According to Verizon, the 64GB SE costs $11.94 a month. The 128GB iPhone 13 Mini costs $19.44 per month, while the 64GB model costs $16.66. It may matter to some people, but there are probably others who think, “What the heck, it’s just $5 a month extra.” And consumers who are more price-conscious may see the higher price and decide to keep what they have for a few more months.

As a result of all of this, it doesn’t mean that the new SE is a failure. In spite of this, a 20 percent reduction in production could serve as a benchmark for the SE’s overall sales trajectory over its (likely multi-year) expected lifespan. This could have implications for future generations of the SE, but it’s too early to tell. If I’m being optimistic, I think Apple is already debating whether or not to go with a Mini/Max design for the next SE.

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Zaid Quraishi
My name is Zaid Quraishi. I pride myself on being a meticulous and organized individual who has done his Bachelors in Medical Technology and currently pursuing my Master's in the same course from Sher-e-Kashmir Institute of Medical Sciences. I belong to the beautiful valley of Kashmir, and my hometown is Srinagar. I am the elder sibling of my younger brother. As far as my strengths are concerned, I am effectively communicative, optimistic, reliable, a team player, and time-efficient. My weaknesses are that I am an honest person and I tend to be blunt, and sometimes, I like to work alone. I am passionate about content writing, online gaming, and learning new things, especially languages (currently German). I have written two papers for my University degree, which helped me immensely in learning how to write effectively. I am confident in my writing skills, and I can effectively pour my thoughts out in writing and express myself so that the reader relates to it and is intrigued by the content. I love to play with my pet cat, and she is a darling to me. The thing that I dislike the most is being distracted when you are in the zone. Currently, I am a content writer in a dynamic work environment at Shouzy, ready to improve readers' satisfaction and increase retention levels.


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