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Apple to Chime Louder in Asia With 5G iPhone Se
Published by Jessica Weisman-Pitts
Posted on March 9, 2022
2 min readLast updated: February 8, 2026
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Published by Jessica Weisman-Pitts
Posted on March 9, 2022
2 min readLast updated: February 8, 2026
Add as preferred source on GoogleBy Siddarth S and Nivedita Balu
(Reuters) – Apple Inc’s 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.
After focusing on high-end phones during the pandemic-induced supply chain crisis, Apple this week unveiled 5G connectivity to its iPhone SE – for $429 – which is likely to attract more lower-end buyers in emerging markets.
“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.
Counterpoint Research said the earlier 4G iPhone SE accounted for 12% of total iPhone sales from its launch in Q2 2020 until the end of 2021, with Japan the biggest market after the United States.
‘DEMAND TO OPEN UP’
“This time we expect demand to open up more across other markets like Europe, SE (South East) Asia and Korea – regions where many consumers stayed away because of the lack of 5G support (for the older SE),” Counterpoint Research analyst Sujeong Lim said.
The world’s most valuable company with a market capitalization around $2.6 trillion, Apple achieved its highest ever market share in China at the end of last year, surpassing Huawei to become the best seller, according to a previous Counterpoint.
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.
He estimated the iPhone SE would generate gross margin between 42%-54%, or roughly half the gross profit for each device compared with the iPhone 13 mini.
“We believe a renewed affordable iPhone SE lineup should buoy consumer interest in iPhones versus investor fears of sharp declines,” Citi analyst Jim Suva said.
(Reporting by Siddarth S and Nivedita Balu in Bengaluru; Editing by Andrew Cawthorne)
5G is the fifth generation of mobile network technology, offering faster speeds, lower latency, and improved connectivity compared to previous generations, enabling advanced applications like mobile banking and streaming.
An emerging market is a nation with social or business activity in the process of rapid growth and industrialization. These markets often have lower income levels but significant growth potential.
Mobile banking refers to the use of a smartphone or other mobile device to conduct financial transactions, such as checking balances, transferring money, and paying bills, typically through a banking app.
Consumer perception is how consumers view and interpret a brand, product, or service based on their experiences, beliefs, and attitudes, which can significantly influence their purchasing decisions.
Market capitalization is the total market value of a company's outstanding shares of stock, calculated by multiplying the share price by the total number of shares. It reflects the company's size and market value.
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