I really don’t know how I would feel if Apple chose not to make another SE-sized device, but I know I won’t be buying an iPhone 7-sized device.
I guess it’s possible that the company has an SE device ready for next year with a 7 screen in it, very possible, which would be the best of both worlds for me, but it seems equally as likely that bigger phones will be the order of the day for many reasons including battery performance.
The sales numbers for the SE were supposedly very good, but are they good enough for Apple? By that I mean that no amount of volume can make up for the margin Apple wants to make on each phone and the 7 models are cash cows in that respect. Likely Apple does not like not maximising profits on every single product, no matter how successful it is.
With a bit of luck, Apple will make a pro SE device to go alongside the 8 and 8 Plus and then everyone is happy, but I don’t feel lucky. In fact, I feel that I could actually go Android if the smaller iPhone is never seen again.