iPhone SE reportedly 'squeezing' marketshare from Chinese smartphone makers

Chinese and Taiwanese smartphone suppliers are reportedly scaling back component production in the wake of Apple's iPhone SE, which appears to be impacting the sales of local smartphone brands.

Phones from Huawei, Xiaomi, Vivo, and Oppo have lost marketshare, supply chain sources told DigiTimes on Thursday. Though the iPhone was already a relatively popular device in China prior to the SE, the new model is allegedly gaining ground as a more price-competitive alternative to the iPhone 6s.

Whereas the cheapest 6s starts at 5,288 yuan, or roughly $816, a 16-gigabyte SE is 3,288 yuan — about $507.

Camera module suppliers were stockpiling inventory during 2015, based on optimistic prospects by smartphone makers, the sources added. This created a serious problem, as most makers ended up meeting only 70 to 80 percent of their projected shipments. In consequence, camera suppliers have supposedly become conservative about more recent attempts to launch phones with twin lenses.

Separately, the sources noted that Apple has also left suppliers with excess inventory by switching its power supplies from 15 to 20 volts. Further trouble could arise through its requests for new power management circuitry to match, the people said.

Initial demand for the SE has reportedly been fairly strong, even if sales might not compensate for an alleged slump with the iPhone 6s.

55 Comments

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apple ][ 13 Years · 9225 comments

About 8 years ago

For a phone that was reportedly a huge flop, according to various douchebags, it seems to be doing quite well, considering that it is even "squeezing" marketshare from other makers.I've actually been trying to buy one from an Apple store, and it's out of stock everywhere. I've been checking the stock at nearby Apple stores every day, and I'm going to buy one, as soon as it's available. Not bad for a phone that isn't selling well, according to various douchebags, liars and spreaders of anti-Apple propaganda.Apple to cut iPhone SE production due to sales slumphttp://www.thehindu.com/sci-tech/technology/gadgets/apple-to-cut-iphone-se-production-due-to-sales-slump/article8483650.eceiPhone SE Sales Forecasted as 'Lackluster' Over First Weekendhttp://www.macrumors.com/2016/04/04/iphone-se-sales-first-weekend-lackluster-forecast/iPhone SE seen getting off to a ‘lackluster’ starthttp://bgr.com/2016/04/04/iphone-se-sales-lackluster/4-Inch iPhone SE Is Not So Hot After All: First Weekend Sales Reportedly Lacklusterhttp://www.techtimes.com/articles/147386/20160406/4-inch-iphone-se-is-not-so-hot-after-all-first-weekend-sales-reportedly-lackluster.htmThe Apple iPhone SE launch was far from divinehttp://www.cnet.com/news/the-apple-iphone-se-launch-was-far-from-divine/

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talexy 10 Years · 80 comments

About 8 years ago

sog35 said:

Good job Apple.

With the SE there is a great new iPhone for $399.

Now Apple needs to get iOS on phones from $100-$300. To do that they should license iOS light version to selected manufacters.

If Apple plays its cards right it can get 50% market share of the smartphone market.

Apple should charge the greater of $20 or 15% license fee per phone. They could probably sell 600,000,000 licensed phones a year.

600,000,000 x $30 license fee = $18 billion in almost pure profit

Ok, this is parody, right?

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bobschlob 11 Years · 1074 comments

About 8 years ago

sog35 said:

Good job Apple.

With the SE there is a great new iPhone for $399.

Now Apple needs to get iOS on phones from $100-$300. To do that they should license iOS light version to selected manufacters.

If Apple plays its cards right it can get 50% market share of the smartphone market.

Apple should charge the greater of $20 or 15% license fee per phone. They could probably sell 600,000,000 licensed phones a year.

600,000,000 x $30 license fee = $18 billion in almost pure profit

I don't see your number for iPhone sales losses in there (you know... "hardware"; where Apple actually makes it's money?)

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sockrolid 14 Years · 2789 comments

About 8 years ago

AppleInsider said:

... Though the iPhone was already a relatively popular device in China prior to the SE, the new model is allegedly gaining ground as a more price-competitive alternative to the iPhone 6s. ...

If Apple really wanted to, I suppose they could sell this year's SE models at a $100 discount next year.
But I doubt it. I think they'll just keep putting each year's latest internals in the 4" shell.