Xiaomi, Huawei and other manufacturers are feeling the heat from the Apple iPhone SE

Xiaomi, Huawei and other manufacturers are feeling the heat from the Apple iPhone SE
The iPhone model that is creating havoc in China is not the Apple iPhone 6s or the Apple iPhone 6s Plus. Nope, the one iPhone model that has executives at Chinese manufacturers staying up all night is the new 4-inch Apple iPhone SE. The phone received 3.4 million pre-orders in China and has been taking sales from companies like Huawei, Xiaomi, Oppo and Vivo.

According to a report published today, suppliers in the handset supply chain in China and Taiwan are refusing to built up inventories of parts, partly because of the success of the iPhone SE. What drives demand for Apple's new 4-inch handset is the powerful hardware inside the device. The same A9 chipset that drives the Apple iPhone 6s and Apple iPhone 6s Plus powers the iPhone SE. In addition, it features the same 12MP snapper found on the back of the iPhone 6s, and supports Apple Pay. Even though it doesn't have 3D Touch, it does offer Live Photos. And Touch ID is on board although it is the first-gen unit, not the newer and quicker sensor.

The smartphone supply chain in China and Taiwan has another reason beside the iPhone SE to keep inventories of parts light. Last year, those supplying camera modules to smartphone manufacturers were encouraged by those companies to keep inventories high. But most of these smartphone producers shipped only 70% to 80% of their projections for the year, which has made the supply chain gun shy.

As a good example of this, Xiaomi told suppliers in March of last year to carry enough inventory to cover the shipping of 80 million to 100 million Xiaomi handsets in 2015. Instead, the company shipped slightly more than 70 million units.

source: DigiTimes

Related phones

iPhone SE
  • Display 4.0" 640 x 1136 pixels
  • Camera 12 MP / 1.2 MP front
  • Processor Apple A9 APL0898, Dual-core, 1840 MHz
  • Storage 128 GB
  • Battery 1624 mAh(14h 3G talk time)

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27 Comments

1. HugoBarraCyanogenmod

Posts: 1412; Member since: Jul 06, 2014

If Xiaomi still having the inventory issues and keep stating "stock not available" then frustrating consumer can easily pick a device with the fruit logo at the back with processor equivalent to yours yet as cheap as yours.

2. zunaidahmed

Posts: 1183; Member since: Dec 24, 2011

True, xiaomi is actually really hard to get your hand on from first party sellers in China (official website) you have to buy it from a second party with a higher price. People went for xiaomi just because of the price in the beginning and now it's starting to loose that main theme. The mi pro is mostly price higher than 3000RMB which does not make make it any much affordable than other android flagships

23. MSi_Cubi unregistered

xiaomi lying they don't have stock.. they on purpose say that and send you to third party but in reality that third party is xiaomi owns it and phone is actually expensive not cheap as they fakingly stating!

27. bubblechaos

Posts: 114; Member since: May 04, 2015

Sounds smart lol. So Xiaomi tells us the phone cost $200 but you can only buy it from a third party for $300.

9. TheUnbiasedGuy

Posts: 50; Member since: Apr 21, 2016

yes,lack of inventories will be a sure cause of xiaomi's demise.you should read their Facebook page comments almost everyone is complaining about lack of stock.

22. MSi_Cubi unregistered

china ppl are traitors !

28. raky_b

Posts: 369; Member since: Jul 02, 2014

if their new product have same quality as Mi4i, its better that their stock is not available

3. aznhachi

Posts: 212; Member since: Apr 12, 2016

4 inch era incoming

4. Unordinary unregistered

Doubtful, mostly from Samsung prob though.

5. submarinerz

Posts: 32; Member since: Mar 24, 2016

even the chinese wont buy their own brand LoL

24. MSi_Cubi unregistered

those rich won't .. students and young will..

6. fonelover

Posts: 255; Member since: Mar 19, 2015

How come?

7. vliang86

Posts: 337; Member since: Oct 05, 2015

So many iSheeps in China.....I'm one of them.

8. pt020

Posts: 151; Member since: Apr 08, 2014

Sounds like wishful thinking,the SE is 4 years old phone with a new chipset,nothing more,

11. Jimrod

Posts: 1605; Member since: Sep 22, 2014

Phone designs have gotten pretty stagnant so there's not much difference between 4 years old and now. It's basically screen + cameras in a 60-80% ratio case made of either metal, glass or plastic.

18. Diezparda

Posts: 941; Member since: Oct 23, 2013

Hmm... in iPhone case i think they literally same, were they even trying their best? Look at S7 Edge it's a refinement over S6 Edge which feel sharp around the edge & the camera hump isn't much problem now, plus a bit thicker with extra battery which is important. When something was already good, some unsignificant improvement was enough.

19. Finalflash

Posts: 4063; Member since: Jul 23, 2013

That's all irrelevant. This is just a click bait article with no backing to it. They even mentioned the only thing they are going on is the inventory levels and they even gave a good reason for that. The Chinese manufacturers do not have high margins so staying inventory light helps. They didn't stash inventory this year due to mistakes learned from last year. iPA decided to put a fruity spin on that and that is what this article is. For the most part, sales numbers for the iPhone SE don't exist and Apple hasn't declared any because it isn't even close to being a run away success.

21. nctx77

Posts: 2540; Member since: Sep 03, 2013

S6/Edge are flagship phones first of all. Secondly iPhone flagships have been on a tick/tock release cycle ever sense the iPhone 3G, so I'm not sure why that's an issue now. The SE is a midrange phone that was not redesigned to keep cost down. They are not going to invest in redesigning a nd manufacting cost for a mid ranger.

10. TheUnbiasedGuy

Posts: 50; Member since: Apr 21, 2016

it will not have much impact on sales from other oem cause mostly people from Asian countries are into larger phone, one of the reason for the success of iPhone 6 plus. generally people buying this phone will be someone who wants an apple phone in a cheaper price or someone who genuinely wants 4 inch phone and that in my opinion are minority of people.

12. iampun33t

Posts: 132; Member since: Apr 17, 2013

In India, no one is feeling the heat from iPhone SE cause the 16 GB variant is being sold for INR 39000 or $586 which is atrociously more than the US pricing of $399, hence no one is buying or is interested in buying. PS. for $600 you can get an iPhone 6S 16GB in India so who in the right mind would ever go for the SE..??

13. techietech

Posts: 29; Member since: Jan 24, 2016

Apple be like, "slowly but surely".

14. fatexo

Posts: 221; Member since: May 21, 2010

People are satisfied with 4 inches in China ;) if you know what I mean

20. catze86

Posts: 731; Member since: Dec 07, 2015

I still remember china export condoms at their size on Africa

15. Guaire

Posts: 855; Member since: Oct 15, 2014

This story smells like BS IMO. Look at how Xiaomi missed its 2015 goal big time. It can't be related with the SE. China is a trully giant market and SE can't make a dent there with its sales. 118M units has been sold in China at Q4 15.

16. Chuck007

Posts: 1410; Member since: Mar 02, 2014

Are they making up numbers? It's the least hyped iPhone in Hong Kong and sales here have been abysmal.

17. fly2click

Posts: 41; Member since: Oct 19, 2012

What i see is, Its not xiaomi or huawei or samsung is loosing to Apple. Its in general, Android is loosing ground there. Its not the price, size, design or availability factor making this change. So it looks like there are more people using a non iPhone have always thought to have an iPhone and here comes iPhone SE. Apple is clever enough to focus on those markets where it can make tremendous profits. No matter what you say, I still see Apple experts are smarter, Intelligent and importantly way ahead than rest of the crowd . No one can stop this storm at least this year. PS : I own a xiaomi device and I am very happy with it. Its just my opinion about this story. Does not reflect my likes or dislikes against any company or product.

25. Awaragardiyan unregistered

Meanwhile, Xiaomi is planning on launching a 6" phone

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