Apple's attempt to create a more affordable smartwatch option appears to be hitting significant roadblocks. The next generation of the Apple Watch SE, which was rumored to feature a plastic chassis instead of metal, is reportedly facing serious development challenges that could impact its future release.
Design Team's Discontent with Plastic Materials
According to Bloomberg's Mark Gurman in his Power On newsletter, Apple's design team is unhappy with the aesthetics of the proposed plastic Apple Watch SE. This represents a significant departure for Apple, a company known for its premium materials and meticulous design standards. The potential shift from aluminum to plastic would mark a rare instance where Apple has opted for this material in a major product line, highlighting the company's struggle to balance cost reduction with its brand identity of premium quality.
Current challenges for Apple Watch SE 3:
- Plastic design not aesthetically pleasing to design team
- Plastic chassis not proving cheaper than current aluminum version
- Durability concerns compared to metal versions
- Product reportedly in "serious jeopardy" according to Bloomberg
Cost Savings Not Materializing
Perhaps more concerning than the aesthetic issues is the revelation that the plastic version is not achieving the intended cost savings. Apple's operations team is reportedly struggling to make the casing materially cheaper than the current aluminum chassis. This presents a fundamental problem for the product's development, as cost reduction was the primary motivation for exploring plastic materials in the first place. Without meaningful savings in production costs, there would be little justification for Apple to proceed with a plastic design that compromises on both appearance and durability.
Market Strategy Considerations
The lower-cost Apple Watch SE represents an important strategic opportunity for Apple. While shipments of higher-end Apple Watch models have reportedly begun to decline, the budget-friendly SE variant could help Apple tap into new market segments. Particularly notable is the potential to market these devices to parents purchasing for their children, creating an entry point into the Apple ecosystem for younger users. However, this strategy depends on achieving a compelling price point without sacrificing too much of the Apple experience.
Apple Watch SE market positioning:
- Aimed at lower-end market segment
- Potential marketing focus on parents buying for children
- Strategy to counter declining shipments of higher-end models
Durability Concerns
Beyond aesthetics and cost, durability represents another significant concern with the proposed plastic design. While aluminum may not be the strongest metal available, it generally offers superior rigidity compared to plastic materials. This durability factor becomes especially important when considering the potential target market of younger users, who may not handle their devices with the same care as adult consumers. The balance between affordability and durability presents a challenging engineering problem for Apple's product teams.
Future Outlook
With the Apple Watch SE 2 now over two years old, consumers are due for a refresh of this budget-friendly option. However, these reported development challenges suggest that the Apple Watch SE 3 may face delays or significant redesigns before reaching the market. Apple must now decide whether to persist with the plastic design despite the challenges, return to an aluminum chassis while finding other ways to reduce costs, or potentially rethink its approach to the budget smartwatch segment entirely.