Analyst: Initial iPhone SE demand has been “lackluster”

Analyst: Initial iPhone SE demand has been “lackluster”

Well-known analyst Ming-Chi Kuo of KGI Securities has said in a recent research note to investors that the demand for Apple’s newly-launched 4-inch iPhone model -- iPhone SE -- has thus far been “lackluster.” The handset hit the store shelves on Thursday, March 31, 2016.

The iPhone SE marks a mid-release iPhone launch by Apple, in an apparent effort to ensure that iPhone sales remain afloat ahead of the expected September launch of the company’s new flagship iPhone --- iPhone 7.

The iPhone SE model was unveiled by Apple at a product launch held in March. The 4-inch handset is an affordably priced iPhone model, which boasts the inclusion of the advanced features of iPhone 6s.

In launching the new 4-inch iPhone SE, Apple was hopeful that the handset – aimed at budget-conscious buyers in emerging markets – will record impressive sales figures. However, the sales of the handset have seemingly been lower than expected, as is evident from the fact that Apple has not yet issued its characteristic press release – which it generally does after every new iPhone launch – to boast that its latest device has been witnessing overwhelming demand.

Highlighting that the initial demand for iPhone SE has been “significantly lower than that of past new models,” Kuo said in the research note that the tepid response to the 4-inch iPhone is partly due to “lackluster demand for smaller-size smartphones;” and, more significantly, because “the product itself offers no significant upgrades to form factor or hardware specs.”