New iPhone SE Could Help Apple Grab Bigger Market Share In China, India, Research Firm Says

Apple Inc.’s AAPL newly launched third-generation iPhone SE may help the tech giant gain market share in important markets like China and India, according to Counterpoint Research.

What Happened: The budget iPhone’s improved chipset and 5G connectivity may appeal to customers in the two Asian markets, Counterpoint Research analyst Matthew Orf said in a blog post.

The combination of 5G connectivity and Apple’s latest silicon at an affordable price may convince low-to-mid range Android users to switch to the iOs system, according to Orf.

The analyst noted that the U.S., Japan and Western Europe will likely be the best-performing markets for the new iPhone SE due to their strong iOS installed base and the strong performance of previous iPhone SE devices.

See Also: Here's Why Apple Analysts Are Bullish Over 'Peek Performance' Event

Why It Matters: Apple unveiled the third-generation iPhone SE, priced at $429 and powered by the A15 Bionic chip, along with other products during the “Peek Performance” launch event on Tuesday.

The new 5G-enabled iPhone is expected to appeal to price-sensitive customers in emerging markets where some of Apple’s iPhones are seen as expensive.

Bloomberg columnist Mark Gurman said in February that an iPhone priced at $200 can have a good offtake in regions like Africa, South America and parts of Asia, which are currently “Android strongholds.”

Apple currently has less than 5% market share in India.

Price Action: Apple shares closed 3.5% higher in Wednesday’s regular trading session at $162.95, but lost 0.4% in the after-hours session to $162.25.

Read Next: Amazon Announces 20-For-1 Stock Split, Share Buyback: Here Are The Details

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