Apple announced the iPhone 16e on Wednesday, expanding its lineup with a lower-cost model aimed at attracting new customers.
Priced at $599, the device will be available for pre-order starting Friday and will officially launch on February 28.
The iPhone 16e brings Apple’s latest technology to a more affordable price point, featuring the same A18 chip used in the flagship iPhone 16 models.
“iPhone 16e joins the iPhone 16 family as it most affordable member,” CEO Tim Cook said in a video statement of the launch.
“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,” said Kaiann Drance, Apple’s vice president of Worldwide iPhone Product Marketing.
“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.”
The device ditches the traditional home button and fingerprint sensor in favor of Face ID, aligning its design with Apple’s premium offerings.
It will be available in two colors: black and white.
The new phone also marks a shift in Apple’s hardware strategy.
For the first time, it includes Apple’s in-house cellular modem, called C1, replacing the Qualcomm modems used in previous iPhones.
The device features a single 48MP rear camera, offering a more budget-friendly alternative to Apple’s higher-end models, which come with multiple lenses.
Apple 16e launched in a slowing smartphone market
Apple’s decision to introduce a new budget iPhone comes as the company faces slowing smartphone sales.
In the December quarter, iPhone revenue declined 1% year-over-year, though the company still sold over $69 billion worth of devices.
The iPhone 16e is Apple’s least expensive new phone that supports Apple Intelligence, a suite of AI-powered features including image generation and notification summaries.
This move is expected to attract more customers to Apple’s ecosystem, as lower-priced models historically help bring in first-time iPhone users.
Apple’s current lineup includes the standard iPhone 16, starting at $799, and the high-end iPhone 16 Pro, which starts at $999.
Previously, only the iPhone 16 and iPhone 15 Pro models had access to Apple Intelligence, making the 16e a more affordable entry point for these features.
Apple launch reflects a new approach to product launches
The iPhone 16e launch also reflects a change in Apple’s product announcement strategy.
Unlike its traditional high-profile events, where new devices are revealed on stage at Apple’s California headquarters, this launch was done through a simple press release.
In recent years, Apple has experimented with more subdued product reveals.
Some new Mac models were introduced last year without major events, and the company increasingly relies on online videos instead of live presentations.
Last week, Apple CEO Tim Cook teased the upcoming announcement with a social media post: “Get ready to meet the newest member of the family.”
While earlier reports suggested the new device would be called the iPhone SE 4, leaks indicated Apple might reposition the model under the iPhone 16 lineup.
Accessories manufacturer Spigen had already listed cases for the “iPhone 16E,” reinforcing speculation that Apple had abandoned the SE branding.
With the iPhone 16e, Apple continues to expand its range, ensuring that more customers can access its latest technology without the premium price tag.
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