Remember that Apple was forced by the EU to stop selling the SE, due to the Lightning port. So instead of creating a new SE from the ground up with USB-C, they chose to strip down an iPhone 16. This approach works way better for them as far as the economy of scale and the profit margin. The end product is also more future-proof for the user. If it’s too expensive for certain people, then they can possibly buy a refurb unit, or wait a year and we can expect the price of the 16e to drop as they keep it in the line up. Over time the situation will correct itself; in the interim, Apple gets to retain its margin. If I worked at Apple and had a vote, I would have agreed. Yes it hurts a portion of consumers, but only temporarily, and it’s a relatively small percentage.