iPhone SE Unlikely to Receive Refresh in Early 2017

Apple will not refresh the iPhone SE in the first half of 2017, according to KGI Securities analyst Ming-Chi Kuo. The lack of refresh comes as Apple attempts to maintain high margins on its high-end iPhone models, Kuo said in a new research note.

iPhone-SE-four-colors
Kuo forecasts that total shipment volume of iPhones will decline in the first half of 2017 due to tepid demand in China, slow shipment volume of 4.7-inch iPhones and the lack of an iPhone SE refresh in the second quarter of the year. Kuo argues that shipment volume came in higher in the first half of 2016 due to "upbeat demand for the iPhone SE."

Instead, Kuo believes Apple will exert pressure on its iPhone component makers to drop prices in an effort to maintain its margins. He expects suppliers to begin price reductions on components in either November or December of this year.

However, Kuo notes that not all suppliers will cut prices. Most iPhone component makers, like those that make the device's panels, have weak bargaining positions with Apple due to fierce competition amongst suppliers. Some suppliers, like Samsung, are the main supplier of certain components for iPhones and have stronger bargaining positions than Apple. Kuo believes Samsung may even raise its prices. And finally, Kuo says there are a few suppliers like TSMC that are unlikely to be affected by Apple's attempt to maintain its margins.

Overall, Kuo forecasts that iPhone shipment volume will drop year-over-year in the second quarter of 2017, sitting between 35 to 40 million, less than last year's 40.4 million in the second quarter of 2016.

Apple introduced the iPhone SE in March 2016, packing in many of the iPhone 6s' features and component into a 4-inch frame similar to that of the iPhone 5s. It's unclear what kind of upgrade schedule Apple will adopt for the device, but it's internals are powerful enough to remain a capable phone for a couple of years.

Related Roundup: iPhone SE 2020
Buyer's Guide: iPhone SE (Buy Now)

Top Rated Comments

(View all)
Avatar
48 months ago
stagnation. complacency. greed.

the new norms of Apple.
Score: 118 Votes (Like | Disagree)
Avatar
48 months ago
Tim Cook has a fetish for obsolete hardware.
Score: 71 Votes (Like | Disagree)
Avatar
48 months ago
then i just hope that they release a flagship iPhone in a 4 inch size during this September.
Score: 56 Votes (Like | Disagree)
Avatar
48 months ago
"Apple attempts to maintain high margins"...that's the problem. How high of a margin do they need to maintain? They can't continue to expect to maintain high margins. The consumer electronics market does rise and fall and you need to be willing to ride those waves. If you attempt to maintain those high margins even when the market falls you end up with cheap products at expensive prices and that is where Apple is now.

And that's where companies start going down hill.
Score: 51 Votes (Like | Disagree)
Avatar
48 months ago
Too bad - it's the best designed iPhone and only phone that is comfortable to hold without putting an ugly case on.

Still deal with hand pain on my 7 but I just live with it. Weighed the 7 against the SE but it's just too much of a downgrade in terms of internals.

I call the SE Steve's phone. Everything else is Tim's. And Steve's rules.
Score: 50 Votes (Like | Disagree)
Avatar
48 months ago
iPhone SE is a great budget phone,I love mine it's the best looking iPhone than any other iPhone model,hope they keep refreshing it
Score: 41 Votes (Like | Disagree)

Top Stories

Apple Warns Against Closing MacBooks With a Cover Over the Camera

Friday July 10, 2020 11:12 am PDT by
Apple this month published a support document that warns customers against closing their Mac notebooks with a cover over the camera as it can lead to display damage. Image via Reddit Apple says that the clearance between the display and the keyboard is designed to very tight tolerances, which can be problematic. Covering the camera can also cause issues with automatic brightness and True Tone....

iPhone Users Who Experienced 'Batterygate' Can Now File to Receive Around $25 Settlement From Apple

Monday July 13, 2020 6:50 am PDT by
Earlier this year, Apple agreed to settle a U.S. class action lawsuit that accused the company of "secretly throttling" older iPhone models. Now, eligible iPhone owners are beginning to be notified about their legal rights and options. Under the proposed settlement, Apple will provide a cash payment of approximately $25 to each eligible iPhone owner who submits a claim, with its total payout ...

Apple Moving Forward on Semitransparent Lenses for Upcoming AR Headset

Friday July 10, 2020 7:24 am PDT by
Apple and Foxconn have reached a key milestone in the development of Apple's long-rumored augmented reality headset, with the semitransparent lenses for the device moving from prototype to trial production, reports The Information. Apple is developing the lenses on a single production line at a Foxconn factory in Chengdu in southwestern China, where most of Apple’s iPad production is...

Arm-Intel-PowerPC Universal Binaries Are Possible

Saturday July 11, 2020 1:42 pm PDT by
Casual MacRumors visitors may not realize that we have a very active PowerPC forum where users discuss issues related to PowerPC Macs that have not been produced since 2006. Threads range from hardware upgrades and software options to nostalgia: Photo by AphoticD Apple's recently announced transition to Apple Silicon (Arm) based Macs raised some interesting questions about future support...

Possible 'iPhone 12' Battery Certifications Suggest Lower Capacities Than iPhone 11 Series

Monday July 13, 2020 4:22 am PDT by
MySmartPrice has spotted certifications for three new Apple batteries that it believes could be for the upcoming iPhone 12 lineup, despite them being less capacitive than the batteries in the current iPhone 11 series. The batteries are identified with the model numbers A2471, A2431, and A2466, and appear on Safety Korea, China's 3C, and the Danish agency UL Demko. Apple is expected to...

Leaker: 'iPhone 12 Pro' to Come With 6GB of RAM

Friday July 10, 2020 1:59 am PDT by
Later this year, Apple is expected to release four OLED iPhones in three display sizes, including 5.4, 6.7, and two 6.1-inch models. Rumors suggest the 6.7-inch iPhone and one 6.1-inch model will be higher-end devices, and now leaker @L0vetodream has corroborated previous rumors about the internal specs of Apple's upcoming lineup. Rumors suggest Apple will use 5-nanometer A14 chips in its...

Kuo: Apple Silicon Macs to Include 13-inch MacBook Pro and MacBook Air This Year, 14.1-inch and 16-inch MacBook Pro Models Next Year

Friday July 10, 2020 2:58 am PDT by
At last month's WWDC, Apple officially announced that its Mac computers will be transitioned from Intel x86 to homegrown Apple Silicon chips. Apple said it plans to deliver the first Apple Silicon Mac by the end of the year and complete the transition in about two years. According to Apple analyst Ming-Chi Kuo, a 13.3-inch MacBook Pro with a form factor similar to the current 13.3-inch...

Google to 'Dramatically' Improve Chrome Impact on Mac Battery Life

Sunday July 12, 2020 1:56 pm PDT by
Google will address long-standing battery life issues, particularly on Mac devices, reports The Wall Street Journal. Chrome will improve "tab throttling" by better prioritizing active tabs and limiting resource drain from tabs open in the background. This is said to have a "dramatic impact on battery and performance." Google has reportedly been performing early tests on Mac laptops in...

Top Stories: iOS 14 Public Beta, iPhone 12 Size Comparison, 14-Inch MacBook Pro Rumors

Saturday July 11, 2020 6:00 am PDT by
After one round of developer beta testing, Apple unleashed iOS and iPadOS 14 to a wider audience this week, opening it up to members of the public beta program. There are lots of changes and new features to check out, but as with any beta, be careful about installing it on your main devices. Subscribe to the MacRumors YouTube channel for more videos. Other major stories this week included our ...

Apple Shares Humorous 'Working-From-Home Thing' Video

Monday July 13, 2020 9:31 am PDT by
Apple today shared a funny video focused on the problems that people working from home have to deal with, including noisy children, chaotic schedules, communication issues, and more. The video focuses on showing off Apple products and their capabilities that can be useful when working from home, such as the ability to scan a document with an iPhone, mark up a PDF, Siri Reminders, and more.The...