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The 2024 iPhone SE 4 May Already Be Canceled

As its Pro line rises in popularity, Apple may forget about its budget option.

If you could get the same performance as an iPhone 14 for roughly half the price, wouldn’t you think it was worth getting? According to analyst Ming-Chi Kuo, Apple may scrap the next version of its wallet-friendly iPhone SE, which was expected to arrive next year.

«The supply chain has received instructions from Apple indicating that the production and shipment plans for the 2024 iPhone SE 4 have been canceled rather than delayed,» Kuo wrote in a Medium post on Jan. 6.

If Kuo’s predictions are correct, only Apple knows the reasoning behind the cancellation. But research and media reports suggest there may be a very simple answer. More expensive iPhone models tend to be more popular, possibly leaving little incentive for Apple to continue pursuing cheaper phones like the iPhone SE.

Apple didn’t respond to CNET’s request for comment.

The third-gen iPhone SE, which debuted in March, starts at $429 and is essentially an iPhone 8 stuffed with the guts of an iPhone 13. CNET’s Patrick Holland called it a «mind-blowing value» in his iPhone SE (2022) review, but he also highlighted missing elements that make it feel dated, like its lack of a full-screen design or night mode for the camera.

Previous generations of the iPhone SE took a similar approach; the 2020 version essentially had the same design but had the iPhone 11’s chip. The 2016 model had the body of an iPhone 5S with the processor of an iPhone 6S. A rumored fourth-gen iPhone SE was expected to adopt a new design similar to the iPhone XR, according to YouTube personality and gadget leaker Jon Prosser.

To understand why Apple may have canceled its next iPhone SE, consider the changes Apple recently made in its iPhone 14 lineup. In a departure from the prior two years, Apple did not release a cheaper «Mini» version of its new flagship iPhone in 2022. Instead, it released a larger version of the regular iPhone 14 called the iPhone 14 Plus, which is $100 more expensive than the regular $799 iPhone 14, raising the barrier to entry for shoppers.

This change followed reports from Nikkei Asian Review and Kuo (via MacRumors) that Apple would scrap the iPhone Mini in 2022, with the former adding that the Mini model didn’t resonate with consumers. Taken together, the elimination of the Mini and reports that next year’s rumored iPhone SE may have been axed could indicate that Apple is pivoting away from releasing smaller, cheaper iPhones.

But Gene Munster, managing partner for tech investment firm Loup and a longtime Apple analyst, doesn’t see it that way. He believes the iPhone SE still plays an important role in Apple’s lineup because of its low price.

«It’s still, I think, the best bang for your buck when it comes to an iPhone,» he said.

Evidence suggests that more expensive iPhones tend to be top sellers, which might help explain the shift. The average selling price of an iPhone rose 7% year over year in the third quarter of 2022, according to Counterpoint Research. The market research firm also reported in June that Apple dominated the global market for premium phones with a 62% share in the first quarter of 2022. It’s important to note that Counterpoint defines premium phones as devices that cost $400 and higher, meaning the third-gen iPhone SE would fall into that category since it starts at $429. The report, however, did say that Apple’s growth in the premium category largely came from the iPhone 13 lineup.

The pricier iPhone 14 Pro and Pro Max also appear to be the stars of Apple’s new smartphone lineup so far. The Information reported that Apple cut production of the iPhone 14 Plus within two weeks of its launch, while research firm Trendforce says Apple boosted production of the iPhone 14 Pro and Pro Max. Kuo also said on Twitter in September that the iPhone 14 Pro Max was responsible for about 60% of Apple’s order increase for the Pro lineup, hinting that Apple’s most expensive new iPhone is also its most popular. A November 2022 report from Wave7 Research also said 38 out of 39 surveyed carrier service representatives said they didn’t have in-store inventory of the iPhone 14 Pro or Pro Max.

The iPhone SE, meanwhile, has only accounted for roughly 5% to 8% of quarterly US iPhone sales over the past two years, said Josh Lowitz of Consumer Intelligence Research Partners. When looking at total volumes for the newest iPhone models in a given year, the Pro versions typically account for 35% to 40% of sales, while the iPhone SE makes up about 20%, according to Munster.

Carrier discounts have also made it easier to snag high-end phones at cheaper prices, especially when trading in an old device, as my colleague Eli Blumenthal pointed out following the iPhone 13’s launch. Many US shoppers also pay for their phones in monthly installment plans through carriers, which can make higher prices easier to swallow. Both of those factors can make the case for buying a less expensive iPhone with fewer features all the more challenging.

«Because you’re paying over such a long period of time … the $100 price difference, or even a $200 price difference, isn’t that much per month,» said Lowitz.

At the same time, Samsung has seen success in the market for lower-priced phones. Its Galaxy A phones, which typically cost hundreds of dollars less than its flagship Galaxy S phones, accounted for 58% of Samsung’s smartphone unit sales in 2021, according to Counterpoint Research data previously provided to CNET. Samsung’s Galaxy A phones have modern features not found on the iPhone SE, such as a camera with multiple lenses and larger screens, although they often run on less powerful processors than Samsung’s pricier phones.

The notion that Apple may have canceled the 2024 iPhone SE raises questions about the future of the SE line in general. Apple extended the SE branding to the Apple Watch in 2020 for the first time and launched a sequel to that product in September.

The fact that Apple had brought the SE line to another product had made it seem like a more permanent fixture in Apple’s lineup. But if Kuo’s insight turns out to be accurate, the iPhone SE’s days may be numbered. And once you take a closer look at how Apple’s smartphone lineup has changed and the data around phone shipments, it’s easy to understand why.

But Munster isn’t convinced that cheaper iPhones like the SE are going away for good. Having a more affordable option makes it easier for Apple to achieve its broader goal of bringing more customers into its web of products and services.

«I think that plays an important role,» he said. «I don’t think Apple’s giving up on that price point.»

Technologies

A ChatGPT Screenless Phone Could Be Coming, as OpenAI Reportedly Eyes Jony Ive’s AI Startup

Ive, the designer of the iPhone, has a startup that’s reportedly developing a range of AI-powered devices.

ChatGPT maker OpenAI is reportedly looking into a potential acquisition of an artificial intelligence startup co-founded by former Apple design chief Jony Ive and OpenAI CEO Sam Altman. The deal could exceed $500 million, according to The Information.

The venture, called io Products, is developing a range of AI-powered technologies including a screenless phone concept and smart home devices, the publication said. io Products has denied that a phone is in development, however, and OpenAI didn’t respond to a request for comment.

The closely guarded AI hardware initiative was first reported by The New York Times in September. Ive — who is renowned for designing the iPhone, iPad and other iconic Apple products — said he was partnering with Altman to create a new AI-driven computing device aimed at being «less socially disruptive than the iPhone.»

Although few specifics have emerged about the device, Ive and Altman have reportedly secured early-stage backing from investors, including Laurene Powell Jobs, the widow of Apple co-founder Steve Jobs. Funding was expected to reach $1 billion by the end of last year, according to The New York Times.

In addition to acquisition talks, OpenAI is said to be exploring strategic partnerships with the venture. If a deal materializes, OpenAI would gain access to both the underlying technology and the core engineering team.

The report arrives as the AI voice assistant landscape grows, with OpenAI, Google, Meta and others racing to advance their AI chatbot offerings. A deal could also tighten OpenAI’s integration with a hardware player.

Ive’s design firm, LoveFrom — founded after his departure from Apple five years ago — is spearheading the device’s development. The company, co-founded by renowned luxury designer Marc Newson, a key contributor to the Apple Watch, includes former Apple executives such as Tang Tan, who led iPhone hardware design. LoveFrom’s client list includes brands like Airbnb and Ferrari.

OpenAI would ‘maintain its lead’ in AI

Jitesh Ubrani, a manager at market research firm IDC, told CNET a move into hardware would enable OpenAI to continue expanding across various platforms and make a stronger push into more environments.

«By partnering with a hardware startup, OpenAI can help maintain its lead across these other device types and usage scenarios,» Ubrani said. «Until the launch of AI, smart home hardware innovation [started] to plateau and by combining forces, the two companies could also benefit from growth in this space by injecting AI into the home.»

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Technologies

An iPad Instagram App Might Actually Be Happening

The social media platform has long focused on its smartphone app, which looks clunky on tablets. That may be about to change.

Meta may be working on a dedicated Instagram app for the iPad, nearly 15 years after making a decision not to launch one. The social media giant is reportedly now developing an iPad-friendly version of Instagram, according to The Information

Instagram has long existed solely as a smartphone app, though it is also accessible via its website. The move could mark a shift in Meta’s mobile strategy and offer Instagram users a more immersive experience on iPads. The timing also would coincide with Meta’s broader push to better compete with TikTok.

TikTok’s legal status in the US remains in limbo. US President Donald Trump recently extended the deadline for ByteDance to sell TikTok to an approved US buyer by another 75 days but the app’s fate is still uncertain.

Meta did not immediately respond to a request for comment, but in the past has downplayed rumors it would launch an iPad app, saying it wasn’t a priority. Adam Mosseri, head of Instagram, tweeted in February 2022 that «it’s still just not a big enough group of people to be a priority.»

«Hoping to get to it at some point, but right now, we’re very heads down on other things,» Mosseri added in February 2022.

A year later, Mosseri echoed that sentiment as the company focused on building out Threads. He also previously said expanding the app to more platforms would add costs and emphasized that the team is «leaner than you think.»

It’s possible, however, that interest has shifted. The company is also reportedly considering spinning off its Reels feature into a stand-alone app as it works to improve recommendation algorithms and support longer Reels, according to The Information.

In addition, Instagram recently launched a video editing app called Edits, which bears a strong resemblance to ByteDance’s CapCut, and has reportedly tried to lure TikTok creators with cash bonuses ranging from $10,000 to $50,000.

Sol Messing, a research associate professor at NYU’s Center for Social Media and Politics, told CNET that Meta may see strategic value in optimizing for larger screens beyond competing with TikTok. Messing was previously an employee of several tech companies, including Meta and X.

«There isn’t much data out there on iPad TikTok use, but they have continued shipping updates to [the TikTok app], suggesting they think the benefits outweigh the costs,» he said. 

Messing pointed to a few studies suggesting more screen real estate might translate to more engagement, productivity and higher levels of attention. 

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Technologies

Today’s NYT Mini Crossword Answers for Sunday, April 13

Here are the answers for The New York Times Mini Crossword for April 13.

Looking for the most recent Mini Crossword answer? Click here for today’s Mini Crossword hints, as well as our daily answers and hints for The New York Times Wordle, Strands, Connections and Connections: Sports Edition puzzles.


Today’s NYT Mini Crossword wants to know a lot of «Big (Color)» expressions, so hope you’re up on that. 8-A also threw me off — while I’ve heard the abbreviation they wanted, it didn’t come right to mind. Need some help with today’s Mini Crossword? Read on. And if you could use some hints and guidance for daily solving, check out our Mini Crossword tips.

The Mini Crossword is just one of many games in the Times’ games collection. If you’re looking for today’s Wordle, Connections, Connections: Sports Edition and Strands answers, you can visit CNET’s NYT puzzle hints page.

Read more: Tips and Tricks for Solving The New York Times Mini Crossword

Let’s get at those Mini Crossword clues and answers.

Mini across clues and answers

1A clue: State sch. founded by Thomas Jefferson
Answer: UVA

4A clue: Flower containers
Answer: POTS

6A clue: «Crib» or «pad,» for «house»
Answer: SLANG

8A clue: Pants, informally
Answer: TROU

9A clue: Company nicknamed «Big Blue»
Answer: IBM

Mini down clues and answers

1D clue: Company nicknamed «Big Brown»
Answer: UPS

2D clue: What «V» stands for on a battery
Answer: VOLT

3D clue: Big name in 1980s arcade games
Answer: ATARI

5D clue: Stuck-up sort
Answer: SNOB

7D clue: Big Red, e.g.
Answer: GUM

How to play more Mini Crosswords

The New York Times Games section offers a large number of online games, but only some of them are free for all to play. You can play the current day’s Mini Crossword for free, but you’ll need a subscription to the Times Games section to play older puzzles from the archives.

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