Apple is poised to shake up the smartphone market with the launch of its next-generation iPhone SE in early 2025. This highly anticipated release marks a significant gamble for the tech giant, as it aims to reclaim its position in the fiercely competitive mid-range market.
The Need for a Competitive Edge
Apple’s decision to revamp the iPhone SE stems from the growing dominance of Android rivals such as the Galaxy A series, Nothing Phones, OnePlus Nords, and the Pixel 8a. The current iPhone SE, last updated in March 2022, is lagging behind in terms of features and performance. To stay relevant, Apple must deliver an iPhone SE that not only matches but surpasses the competition. This is a challenging task, considering that most Android competitors will also release updated models in the first half of 2025.
The AI Factor
Adding to the pressure is Apple’s plan to launch an updated version of its generative AI tools, Apple Intelligence, alongside the new iPhone SE. Currently, Apple Intelligence falls short of the capabilities offered by Android-based AI suites like Gemini AI and Galaxy AI. To achieve parity, the new iPhone SE will require significant upgrades in memory, storage, and processing power. This is likely to push the specifications of the iPhone SE beyond historical norms, similar to what was observed with the iPhone 16 and iPhone 16 Plus.
By launching a feature-packed iPhone SE with advanced AI capabilities, Apple is taking a calculated risk. The success of this strategy hinges on the company’s ability to deliver a compelling product that resonates with consumers and justifies its potentially higher price point.
