Amid the Crisis Apple Launches Cheapest New iPhone

As COVID-19 wreaks havoc, Apple on Wednesday launched an iPhone priced at US$399 for the 64GB model, lowering the starting price of the company's smartphone lineup in a move to attract the attention of people who are extremely careful with their budget right now.

Among the features of the new iPhone are:

• 4.7" Retina HD display

• A13 Bionic (same as iPhone 11 Pro)

• Touch ID

• 12MP camera

• Portrait mode

• Raincoat in 1m depth of water

• iPhone 8 design in aluminum-and-glass

• Black, white and red colors

📲 #Tecnología | Apple Store presentó su nuevo equipo IPhone SE con un tamaño reducido y a precio más accesible que el resto de la gama.

💥 64GB a 10,999 pesos
💥 128GB a 11,999 pesos
💥 256GB a 14,499 pesos

Estará disponible en el mercado a partir del 17 de abril. pic.twitter.com/YNcdc2wbCt

— TendenciaBoomerangFm (@boomerang_fm) April 15, 2020

The new Apple device will offer old iPhone owners an affordable way to get into the latest and most secure version of Apple’s iOS, said Annette Zimmermann at consultancy Gartner. “These are people who keep their phones for four or five years until they either break or the battery dies,” she pointed out.

Bad Forecast

But the new iPhone SE is unlikely to be a major driver of sales in China, a Weibo survey suggested, with analysts highlighting its lack of 5G capability. In a poll conducted on social media, 60 percent of 350,000 respondents said they would not buy the new US$399 model, even if it was the cheapest iPhone available. “If you do not buy it and I do not buy it, tomorrow the price will drop another US$28,” said one Weibo user. 

China is Apple’s third-biggest market accounting for roughly 15 percent of its sales. However, its market share in the country has shrunk over the past several years as Chinese Android brands such as Huawei increasingly release higher-end phones. Last month, Xiaomi announced models with 5G features starting at about US$425.

Apple will start taking orders for the phone on its website this Friday, with deliveries expected to start on April 24. In Mexico, its arrival has not yet been set.