I wonder if this is due to some type of currency adjustment on new Olympus EU product since the E-M10iv was released. In Japan the E-P7 costs less than the E-M10IV on the Olympus Japan site.To be honest, I never expected anything new or groundbreaking in an entry level camera, at least not in terms of hardware. Maybe better integration with smartphones on the software side of things, some sort of live streaming and things like that. But that doesn't seem to be the case either. I am also somewhat disappointed by the older Micro-USB connector, sure it's still great you can charge the battery inside the body, but I mean it's mid 2021, a USB-C connector should be standard as of today, even most entry level phones come equiped with one.
Also the price:
The E-P7 sells for EUR 899 as a kit with the 12-42mm EZ lens. The E-M10 Mark IV sells for EUR 849 with the same lens and is currently on sale for EUR 799. Comparing body only prices is even more obvious: 799 for the new Pen, 689 for the latest E-M10. Unless somebody really want the smaller and compact body or is attracted by the design and JPEG options, I personally see little reason buying this over the E-M10 Mark IV.