Apple releases budget iPhone SE priced at $399

Apple Inc yesterday released a smaller iPhone priced at $399, cutting the starting price for the company’s smartphone line in a move to broaden its appeal to budget-conscious customers as the coronavirus hobbles the global economy.

The lower-cost model could also attract more consumers to Apple services, a growing driver of revenue. The iPhone SE, available April 24, is the second generation of a previous value model. It will start at $50 less than what was previously the cheapest iPhone available, the $449 iPhone 8, which will be retired. The SE comes with a 4.7-inch display and the same processor chip as Apple’s most advanced phone, the 11 Pro.

The SE lacks 5G capability and Apple’s facial recognition system to unlock the device, instead relying on a fingerprint sensor similar to older models. Every previous iPhone has been unveiled in a polished presentation in front of fans, but large events remain banned in Apple’s home base of Santa Clara County, California, where public officials ordered the first lockdowns in the United States to slow the spread of the novel coronavirus.

Apple will begin selling the new model online while its stores around the world are closed, except those within its greater China sales region. Apple will start taking orders for the phone on its website on Friday, with the delivery of devices expected to start April 24. Apple gets about 31pc of its sales from its elegant stores and website, with 69pc coming from partners such as mobile carriers and other retailers. Apple said partners would decide whether to sell the phones in their physical stores. Many of Apple’s resellers are trying to guide customers toward online sales.