Apple’s low-cost 5G iPhone SE should boost company’s appeal in Asia, analysts say

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After focusing on high-end phones during the pandemic-induced supply chain crisis, Apple this week unveiled 5G connectivity to its iPhone SE, which is likely to attract more lower-end buyers in emerging markets

low-cost 5G model should enhance the iPhone maker’s appeal in Asia where it is in a stiff battle with multiple rivals from Samsung to Vivo, analysts believe.

“The new 3rd gen iPhone SE could be effective in gaining incremental share among price sensitive consumers, especially in Asia,” Cowen and Company brokerage said, citing China and India in particular. “This time we expect demand to open up more across other markets like Europe, SE Asia and Korea – regions where many consumers stayed away because of the lack of 5G support ,” Counterpoint Research analyst Sujeong Lim said.

Cowen and Company analyst Krish Sankar said the new small-screen 5G phone’s $30 price hike from the 4G version should cover most extra costs from the enhanced technology, though margins would be lower compared to the $699 iPhone 13 mini.

 

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