KGI: 4-inch iPhone with 12MP camera, $4-500 price range

Kuo cut his estimate as he expects the cheaper price of the iPhone 5s to draw buyers away from the new 4-inch iPhone.

In his latest note, Ming-chi Kuo of KGI Securities said that like the iPhone 6S before it the iPhone SE main engine is the A9 mobile processor. To start with, we now have reports that the new 4-inch iPhone would be christened the iPhone SE. The original rumor had the iPhone SE launching three days after being unveiled.

Other features that receive a mention include the possibility of the device coming in 16GB and 64GB variants with support for 802.11ac Wi-Fi, Bluetooth 4.2 and not to mention, Live Photos support. The device is expected to offer a 12-megapixel camera like its most recent siblings, plus up to 64GB of storage, Apple Pay, and an A9 chip.

So far, it looks like the iPhone SE will be more like the iPhone 6s than the iPhone 5s, which rumors have previously stated.

The new iPhone SE is touted to have remarkably different aesthetics from the iPhone 5s and will feature a so-called "2.5D" cover glass- the slightly curved display introduced with the iPhone 6.

Kuo still strongly believes that the 4-inch iPhone will cost around the $4-500 price bracket. The launch of the new phone and a 50% price cut on the iPhone 5s are expected to grow 4-inch iPhone shipments by 131% year-over-year to 37 million units in 2016. Reports have earlier suggested that a sizeable number of iPhone users have opted not to jump into the large-screen iPhones, somehow indicating that they prefer the smaller, easy to slip and out of the pocket old models. This would help with sales in emerging markets such as India and China. The iPhone SE also has the advantage of running iOS 9, the newest software update from Apple.

Another killer feature identical to the current iPhone flagship is a 12-megapixel main shooter. The new iPhone SE could go on sale as early as March 18, reports add - although some reports said that it could be pushed back till March 22.

Source: KGI: 4-inch iPhone with 12MP camera, $4-500 price range