Can Apple release an iPhone SE model no more than $ 400 next year?

In just a few days, the iPhone 11 will be officially launched, and Apple's general iPhone business is still 'in the middle of the storm' with countless sales difficulties in nearly all markets. Important as China and Europe. In the context that the trade war between the United States and China has not shown signs of cooling down as currently, along with a series of tariff barriers on technology products are constantly imposed on both sides by the figure. 'tit-for-tat' food over time, it's hard to say for sure whether the iPhone 11 will help Apple pull back sales of the entire iPhone business.

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Whether iPhone 11 can help Apple pull back the sales of the entire iPhone business is still a big question mark

With such a situation, Cupertino's keen business minds immediately thought of the sales-boosting tactic they had used so successfully many years ago - but never outdated - that was for released an iPhone SE version with a much more affordable price.

Specifically, a new report released by the prestigious Nikkei Asian Review shows that Apple is cherishing plans to launch a line of cheap iPhones (expected to cost no more than $ 400) next year as a measure. 'cure' solution to revive sales of its smartphone segment, especially in the case of sales of iPhone 11 also did not meet expectations.

The Nikkei report also notes that this device is likely to be a successor to the iPhone SE that Apple released in 2016. The phone is expected to have a 4.7-inch LCD screen - just like The iPhone 8 will also share some hardware components with this year's iPhone model, such as the A13 chip.

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iPhone SE was released in 2016 has brought great success to Apple

However, the information that Apple will release the 'iPhone SE 2' in reality is not too new. In 2017, there were rumors, a sideline story that the Cupertino company will release a successor to the iPhone SE in 2018. However, the impressive sales of the iPhone X later made Apple change its mind. Overall, this has always been the strategic 'plan B' of the world's fourth largest smartphone manufacturer.

The situation in which iPhone sales have continuously declined in recent quarters has severely affected Apple's overall profits as this is its main business item. According to the latest financial report, for the first time in seven years, the iPhone contributed less than half of Apple's revenue, which is a 'red alert' for the Cupertino giant when in recent years, The iPhone is always the product that carries the revenue for them.

However, this has given Apple good reason to take a stronger transition to the services and smart wearables segment. In fact, the decline in iPhone sales has been offset by a 50% increase in smart wearables, including Apple Watch and AirPods, which helped Apple quell any negative estimates from Wall Street and causing stock values ​​to rise again in the last quarter. In July, CEO Tim Cook revealed in a press release that the wearable business helped Apple's overall sales in China - one of its strategic markets to reach stability.

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The smart wearable business is making a profit for Apple

But the short-lived joy, in a recent statement from the White House, a lot of technology products originating or assembled in China, including AirPods, Apple Watch and HomePod, will not be mainstream. Trump's right to be included on the temporary tax reduction list, and faces a tax rate of up to 10% starting September 1. The price increase will make the competitiveness of these products significantly reduced.

Going back to the iPhone SE 2 problem, the arrival of a cheap iPhone that everyone is craving can certainly boost the overall number of smartphones Apple sells. More importantly, such products will enable the company to gain the necessary market share in large but extremely price-sensitive markets such as India and even Southeast Asia.

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Apple is having a hard time and doesn't have too many options at the moment

At the moment, it's still too early to say whether this Cupertino-based tech company will release a successor to the iPhone SE, but this scenario is entirely possible. Apple doesn't have too many options at the moment.