In the current smartphone landscape, state subsidies have monopolized most conversations. However, these subsidies are not universally available and are often rolled out in phases, leaving some users in anticipation. Smartphone manufacturers, including Apple, are unlikely to overlook such substantial subsidies that boost sales. Recently, Apple even reduced prices on select models to qualify for these subsidies. Earlier rumors suggested that the iPhone 16E, anticipated for a first-quarter release, might debut early to capitalize on these subsidies.

However, the latest developments have brought a significant twist. The current SE series, known for its physical fingerprint recognition, has been around for three generations, with older components presumably nearing depletion. It was speculated that the series might transition to a notch design, marking a new era. Yet, Apple has defied expectations by skipping a generation in its non-flagship models.

A reputable leaker has unveiled that the iPhone SE4 (or, as some suggest, iPhone 16E) will bypass the notch design and adopt the Dynamic Island screen. Many find this surprising, considering the abundance of remaining notch-era components. However, the leaker only mentioned the Dynamic Island screen, not specifying the internal components. This suggests that while the screen design may be updated, the internal components could still be older, utilizing leftover sensors from the notch era.

Apple's strategy is astute: the phone appears up-to-date, offering a solid user experience, while minimizing losses from component obsolescence. This approach is likely to boost sales significantly.

It is plausible that Apple's decision to adopt the Dynamic Island design in the iPhone 16E is aimed at increasing its price. Historically, Apple has skipped generations and raised prices by up to 1000 yuan. While the iPhone 16E might not see such a steep increase, a price point above 4000 yuan is plausible. This strategy also allows for future price reductions, benefiting Apple in the long run.

For consumers, an early release of the iPhone 16E could mean eligibility for state subsidies. Even if the starting price rises to 4199 yuan but qualifies for a 500 yuan subsidy, the effective price remains 3699 yuan, a minimal difference. After subsidies end, third-party sellers may drop prices below 4000 yuan, aligning with initial expectations.

Upon its release, the iPhone 16 may face the irony of being overshadowed by the 16E, as the latter, apart from having one fewer rear camera, offers few other distinguishable differences at present.