Apple is a much larger company now than it was when Steve Jobs passed, and recently it’s been experimenting with diversifying the iPhone lineup to better serve a growing user base. We’re starting to see some growing pains, and more change is coming.
Apple’s expanding iPhone lineup is having early growing pains
After years of relative stability in the iPhone line, over the past year Apple has shaken up its offerings in several major ways.
- iPhone SE was discontinued, replaced by the iPhone 16e at a much higher price point, and a plan to ship annual updates.
- iPhone Plus was discontinued, and the all-new iPhone Air took its place, offering a very different set of advantages.
- iPhone 17 Pro and Pro Max became more ‘Pro’ than ever, with a bold new visual identity, thicker and heavier builds, and tons of camera specialties.
We’ve had the iPhone 16e for a while now, but it’s only been a couple months since the Air and 17 Pro launched.
Nonetheless, it appears Apple has found only partial success in its expanded, diversified iPhone lineup.
iPhone 17 Pro seems to be selling exceptionally well, while the iPhone Air and iPhone 16e reportedly are struggling.
To understand the challenges involved with Apple’s iPhone shake-ups, I think it’s helpful to revisit the famous Steve Jobs 2×2 product matrix.
Steve Jobs favored simplicity in Apple’s earlier days
When Steve Jobs returned to Apple after his initial ouster, he set out to significantly scale back the company’s product slate.
Jobs used a 2×2 matrix to explain his vision:
Much of Apple’s product lineup still loosely follows this model.
For example, the Mac is available in consumer and pro laptops (MacBook Air, MacBook Pro). The desktop side is slightly more complex, but you have Mac mini and iMac for consumers, and Mac Studio and Mac Pro for pros.
Until 2025, the iPhone followed its own twist on this model.
You had two ‘consumer’ models: iPhone and iPhone Plus—largely identical, but in different form factors.
Then two ‘pro’ models: iPhone Pro and iPhone Pro Max.
iPhone SE was always around as a budget option, but it rarely got updated, and didn’t overcomplicate things.
This year though, things have changed, and more shake-ups are coming.
Six flagship iPhones are coming, and success may require patience
Earlier this year, the iPhone 16e arrived as a new entry model that isn’t all that budget-friendly.
It may be a great value at $599, but that’s also significantly more than the $429 iPhone SE—which often was discounted even further.
Additionally, Apple apparently plans to update the ‘e’ model annually, with an iPhone 17e expected in the spring. So it’s not just a cheap, long-neglected option, it’s a proper new member of the flagship iPhone lineup.
The iPhone Air, meanwhile, offers “the power of pro” (in Apple’s words) but it’s not a ‘Pro’ model.
I love my iPhone Air, but I’ll admit that for anyone shopping for a new iPhone, it’s not the most straightforward option.
Then next year, the iPhone Fold (or iPhone Ultra) is coming to complicate the lineup even further.
In the next 18 months, the flagship iPhone lineup is expected to look like this:
- iPhone 18e
- iPhone 18
- iPhone Air 2
- iPhone 18 Pro
- iPhone 18 Pro Max
- iPhone Fold
This product slate is far more complex than it was just one year ago. And while I don’t think that’s necessarily a problem, it does present challenges for Apple.
Apple isn’t the company it was during Jobs’ time. It’s much bigger, and serves a more diverse set of users. So it makes sense to offer new types of iPhones that can meet every user’s needs.
I suspect the iPhone Air and iPhone 16e sales struggles reflect not a failure of strategy, but rather growing pains and the need for fine-tuning.
We already see Apple responding to these challenges, such as by pushing back its iPhone Air 2 launch date so it can add a second rear camera.
These kinds of tweaks and adjustments are all part of the process. If Apple wants to push successfully beyond the 2×2 product matrix, it might just take more time.
Differentiating every product in exactly the right way isn’t easy, but that’s the challenge facing Apple, and the iPhone, in the years ahead.
What do you think of Apple’s expanding iPhone lineup? Do you think the company is moving the right or wrong direction? Let us know in the comments.
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