hello. This is Technologytodaynow. Recently, news broke about the pricing of the fourth-generation iPhone SE, so we thought we’d take a closer look.
Why the iPhone SE 4th generation might be cheaper
Possible iPhone SE 4th generation price cut
With the recent Snapdragon X Elite price hike to $240, we can expect to see an increase in prices across the board for Android flagship smartphones. Apple, on the other hand, is trying to minimize consumer pressure by keeping the iPhone 16 series priced at a similar level to previous models, and the recently released M4 MacBook Pro and M3 MacBook Air models have also been frozen in price, despite increased base capacity.
If this continues, the fourth-generation iPhone SE, due out next spring, could be competitively priced, and the iPhone 17 series, due out next fall, is also expected to see a price freeze.
The introduction of Apple’s own modem
According to a recent report by Haitong International analyst Jeff Pu, Apple will include its first in-house 5G modem in the fourth-generation iPhone SE, which will be released in the first half of 2025, and the iPhone 17 Pro model, which is expected to be released in the second half of 2025, will also include an Apple-developed Wi-Fi 7 chip.
In 2019, Apple and Qualcomm agreed to stop patent litigation, during which Apple decided to use Qualcomm’s modems in its iPhones.
Starting with the iPhone 12 series, the Snapdragon X5 5G modem was installed, and the iPhone 16 series released this year was also equipped with the Snapdragon X71 5G modem. This can be interpreted as Apple’s intention to reduce its dependence on Qualcomm and accelerate the transition to its own technology.
Manufacturing cost reduction and pricing strategies
But now it looks like Apple is looking to reduce its reliance on Qualcomm. Apple is looking to reduce the use of Qualcomm modems by introducing its own modems in the iPhone SE 4th Gen and iPhone 17 Pro, which will lower the cost of manufacturing, making it very likely that Apple will be able to keep the price of the iPhone SE 4th Gen at a reasonable level.
While there are many factors to consider, the A18 chip is reportedly 50% cheaper than the Snapdragon X Elite modem. It’s unclear how much Apple will be able to lower its manufacturing costs compared to its exploration of Snapdragon chipsets, but the cost savings are expected to be significant compared to Android manufacturers, which will be an important factor in keeping price increases in check.
Concerns about performance stability
The key will be how well Apple’s own modems perform. When Apple used Intel modems, there were user complaints about signal sensitivity issues, and since Apple has been developing its own 5G modems since acquiring Intel’s modem division, there are concerns about the performance of its own modems.
It’s likely to have to be at least as good as pre-5G Intel modems before it can use its own modem, but fortunately, the high-end iPhone 17 Pro will also have its own modem, so we don’t have to worry about quality.
Pricing and competitiveness of iPhone SE 4th generation
If the iPhone SE 4th generation is released at the expected price of $499, it could be a hit, combining a low price with Apple’s latest technology. If the in-house modem delivers reliable performance, the iPhone SE 4th generation could be a masterpiece.