Not iPhone 16, but Apple's budget iPhone, the SE 4 may make Apple Intelligence the hit it needs to be

It seems that instead of the iPhone 16 Pro and Pro Max devices, it will be the budget friendly iPhone SE 4 that will make Apple’s take on AI, the Apple Intelligence, a solid hit. At least that’s what several analysts at Morgan Stanley seem to think.

According to a new report from the investment bank, the iPhone SE 4 could be the device that finally makes Apple Intelligence. However, Apple, and its fans will have to wait at least until 2025 before popping the champagne.

iPhone 16 series doing better than anticipated
Although Morgan Stanley had previously hinted that sales of the iPhone 16 were falling short of expectations, the latest insight is more optimistic.

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The iPhone 16 Pro and Pro Max appear to be performing better than initially anticipated, despite shorter lead times when compared to last year’s iPhone 15 models. The bank suggests this could be due to better supply conditions, meaning there’s no need to panic about production numbers just yet.

Apple, as usual, hasn’t provided any exact figures on how many iPhones have been sold or produced, leaving everyone to speculate. Morgan Stanley’s analysis points out that their checks in the supply chain show no major shifts in iPhone 16 orders, indicating that things are likely running smoothly for now.

All eyes on the iPhone SE 4
While the iPhone 16 might still be grabbing the headlines, it’s the iPhone SE 4 that’s starting to steal the spotlight behind the scene, even though there is no official word from Apple that such a device exists. Morgan Stanley has its sights set on the SE 4 as a big player for Apple in 2025, with expectations that it could be released in March that year.

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The key feature that’s expected to set the iPhone SE 4 apart is its support for Apple Intelligence, which would make it a more attractive option than older iPhone models that don’t offer this advanced technology. With a more affordable price tag, the SE 4 could capture the attention of customers who aren’t looking to spend big but still want access to the latest features.

The analysts at Morgan Stanley had initially predicted that Apple would produce 15 million SE 4 units, but now they’re forecasting somewhere between 15 million and 20 million, assuming Apple Intelligence is included.

It’s clear that Apple is positioning the SE 4 to appeal to the budget-conscious market, with a potential focus on delivering advanced tech at a more accessible price. This could be the push Apple needs to solidify Apple Intelligence as a must-have feature across its devices.