Apple has introduced a new iPhone model, the iPhone 16e, which is priced lower than its flagship devices. Set to retail for $599, the iPhone 16e will be available later this month. This model does not feature a home button or fingerprint sensor; instead, it utilizes Apple’s FaceID technology and has a sleek design with a sensor notch at the top of the display.
Powered by the A18 chip, the same processor found in the higher-end iPhone 16 models, the iPhone 16e can run all the apps and games available on its more expensive counterparts. It will be offered in classic black and white colors.
Additionally, the iPhone 16e includes Apple’s first cellular modem, dubbed C1, moving away from Qualcomm modems that have been used in previous models. Unlike the advanced iPhones that have up to three camera lenses, the iPhone 16e features a single camera lens.
This release comes as Apple aims to stimulate growth in its most crucial product category, as iPhone sales were down 1% year-over-year during the December quarter, although the company still generated over $69 billion in sales.
The introduction of a low-cost iPhone is significant for Apple, as it helps attract new customers into its ecosystem. The iPhone 16e supports Apple Intelligence, making it the most affordable option to access features like image generation and notification summaries. Previously, only the iPhone 16 and iPhone 15 Pro models had this capability.
Since 2016, Apple has released budget-friendly iPhone models, with the iPhone SE being the last before the 16e. Following the sale of the old iPhone SE, Apple will no longer offer any new models with fingerprint scanners. This launch also represents a shift in Apple’s approach to product announcements, moving from live presentations to quieter releases via press releases and online videos.