It looks like the next iPhone SE might be getting a price bump. But, don’t be too quick to judge—there might be a solid reason behind it.

According to a report from Phone Arena, a reliable leaker, Revegnus1, has tipped that Apple’s upcoming iPhone SE 4 could hit the shelves with a starting price of $499. That’s a noticeable jump from the iPhone SE 3, which launched at $429. The $70 difference may sting for some, but here’s the thing: it might be worth every extra dollar.

Why? Well, back in August, tech insider Mark Gurman hinted at something big in his Power On newsletter. He suggested that the iPhone SE 4 could integrate some form of Apple Intelligence. This is exciting because Apple Intelligence, though still somewhat shrouded in mystery, could bring game-changing performance enhancements. If Gurman’s speculation holds true, the new SE might feature 8GB of RAM and pack the A17 chip—powering the latest iPhones but previously missing in budget models. This powerful combination might explain why cheaper models haven’t supported Apple Intelligence features up until now.

What else can we expect? The iPhone SE 4 could also be rocking a design similar to the iPhone 14, complete with a full-body OLED display, which would be a major upgrade over the current LCD screen. It’s also rumored to come with a 48MP main camera, significantly improving from the iPhone SE 2022’s 12MP shooter. Add to that the switch to USB-C, a long-awaited move that follows the trend of phasing out the old Lightning ports.

As for Apple Intelligence itself, it seems packed with features that could really boost everyday usability. Leaks from the latest public beta reveal new writing tools, which can assist users in crafting better content. Apple is also throwing in some smart photo editing capabilities—like “Photos Clean Up,” which feels like Apple’s version of Google’s Magic Editor. And then there’s Siri, now even smarter and more responsive, with improved user interaction and the option to type out commands for those who prefer it.

The iPhone SE has always been Apple’s more budget-friendly option, allowing people to experience the iOS ecosystem without breaking the bank. With these potential upgrades, the SE 4 seems poised to deliver an impressive user experience, balancing performance and price.

Will the higher price tag make it less appealing? Maybe. But if these leaks are accurate, the SE 4 could easily justify its cost and cement itself as one of the best budget smartphones on the market. We’ll have to wait until 2025 to see if this next-gen SE lives up to the hype—but it’s shaping up to be quite the contender.