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Apple unveiled its latest budget-friendly model, the iPhone 16e, on Wednesday. It replaces its previous entry-level SE models.
The iPhone 16e is the fourth generation of Apple’s budget models, launched in 2016 and released in 2020 and 2022. It will be officially launched on March 28.
Notably, Apple has rebranded its budget line from iPhone SE to iPhone 16e, describing it as a powerful new member of the iPhone 16 family.
The iPhone 16e, priced at $599, is $200 cheaper than the base iPhone 16 model ($799), which was released in September last year.
The New York Times reported that Apple is introducing AI features in its most affordable iPhone less than a year after introducing these features.
The iPhone 16e features significant design improvements, including a larger screen that supports Face ID without the home button.
It is powered by Apple’s in-house A18 chip, the same as the one in the iPhone 16 series, which ensures compatibility with the latest apps and games.
Apple is introducing its first custom-made C1 chip for the modem chip, moving away from Qualcomm’s technology. The device also features a USB-C port, aligning with EU regulations.
It includes a customizable action button and a satellite network connection, which enables emergency services and text messaging without a cellular connection.
Kaiann Drance, Vice President of Worldwide iPhone Product Marketing at Apple, said, “iPhone 16e packs in the features our users love about the iPhone 16 lineup, including breakthrough battery life, fast performance powered by the latest‑generation A18 chip, an innovative 2‑in‑1 camera system and Apple Intelligence. We’re so excited for iPhone 16e to complete the lineup as a powerful, more affordable option to bring the iPhone experience to even more people.”
However, some argue that despite the launch of a budget model after three years equipped with Apple Intelligence, Apple’s AI system, the device lacks groundbreaking features.
Market analysts suggest that Apple’s rushed release of the iPhone 16e may respond to slowing iPhone sales and increased competition. Samsung has taken the lead in the market with its AI-focused devices that communicate via voice instead of touch or applications.
Apple faced challenges in Q4, with iPhone sales dropping 1% year over year in December and 11% in China due to fierce local competition.