Apple’s cheapest iPhone, the iPhone SE, should start from just Rs 15,000. At least that is the opinion of Bloomberg’s Marc Gurman, noted tech reporter and Apple analyst who has a long history of being accurate on what Apple’s next moves are. In his weekly newsletter PowerOn, Gurman suggests that with the release of the 5G iPhone SE, which is expected to be unveiled on March 8, the current model of Apple’s cheapest smartphone offering should be reduced in price to just $200 (around Rs 15,000).

Gurman’s suggestion to the world’s most valuable company comes as a way to make further inroads into countries in regions like Africa, South America and parts of Asia. For most of these regions, the premium price of the iPhone makes it completely out of the realm of affordability and most countries are Android strongholds.

Brands that make mid-range smartphones rule the roost in these countries, as seen by the market dominance held by companies like Xiaomi (21 percent market share), Realme (17 percent market share), Samsung (16 percent market share), Vivo (13 percent market share), and Oppo (9 percent market share), according to data from Counter Point Research. Apple’s market share is less than 5 percent in the country, where it had once hoped to recapture the success it saw in China.

But with India’s average smartphone price is only $196 (Rs 14,800), despite being up by $40 (Rs 3,000) over the past year. Apple’s iphones in India are also more expensive due to taxes and import duties that are levied on the smartphones due to them being manufactured outside the country. Apple’s hefty 30-40 percent profit margins on hardware can also be partially blamed. What this results in is the fact that Apple’s offerings on average need a significantly higher proportion of Indian salaries to afford, as seen by the iPhone Index as conducted by Picodi. Indians on average need to work for 75.7 days in order to afford the iPhone 13 Pro (128 GB), the fourth-highest in the world.

Gurman suggests that a $200 price tag at the current model of iPhone SE, which will be rendered obsolete by the new 5G SE, would help alleviate some of the issues and help Apple start to establish a consumer base in these countries. The price would of course also open a bigger market share for Apple even in countries where it is well established. Apple’s premium finish, brand value and style would help the SE stand out in the mid-range market.

Though in the end maybe the company will stick to its “don’t ship junk” ethos as established by its late CEO Steve Jobs.