Apple Releases a New, Cheaper iPhone With AI Features

Apple significantly changed its entry-level iPhone strategy when it introduced the iPhone 16e on February 19, 2025. Instead of releasing another iPhone SE built around an older design, Apple moved its least-expensive new iPhone into the modern iPhone 16 family, adding a 6.1-inch OLED display, Face ID, the A18 chip, Apple Intelligence support, a 48-megapixel camera, and Apple's first internally designed cellular modem.

The iPhone 16e started at $599 in the United States with 128GB of storage. Preorders opened February 21, 2025, and availability began February 28. That made it substantially more expensive than the third-generation iPhone SE it effectively replaced, but the hardware was also far closer to Apple's mainstream iPhones than the SE had been.

Apple's original iPhone 16e announcement positioned the device as the most affordable member of the iPhone 16 family rather than as a fourth-generation iPhone SE.

iPhone 16e Marked the End of the Old iPhone SE Formula

The third-generation iPhone SE, introduced in 2022, retained a 4.7-inch LCD display, a physical Home button with Touch ID, and a design rooted in older generations of the iPhone. It launched at $429 with 64GB of storage.

The iPhone 16e represented a much larger generational jump. Apple removed the Home button and Touch ID, moved authentication to Face ID, switched to an edge-to-edge 6.1-inch OLED display, replaced Lightning with USB-C, and doubled the entry storage to 128GB.

Feature	iPhone SE (3rd generation)	iPhone 16e
U.S. launch price	$429	$599
Starting storage	64GB	128GB
Display	4.7-inch LCD	6.1-inch OLED
Authentication	Touch ID	Face ID
Processor	A15 Bionic	A18
Main rear camera	12MP	48MP Fusion
Apple Intelligence	Not supported	Supported
Connector	Lightning	USB-C

That transition came with a $170 increase over the previous SE's U.S. launch price, or roughly 40 percent. In practical terms, Apple raised the minimum price for buying a newly introduced low-end iPhone while also eliminating many of the compromises associated with the old SE design.

A18 Brings Apple Intelligence to the Entry-Level Model

The iPhone 16e uses Apple's A18 chip, with a six-core CPU, four-core GPU, and 16-core Neural Engine. That hardware made the phone compatible with Apple Intelligence, which the A15-powered iPhone SE did not support.

Apple Intelligence includes a collection of AI-assisted features integrated into iOS, rather than one single application. Depending on the software version, language, and region, these have included Writing Tools for rewriting and summarizing text, notification and message summaries, Genmoji, Image Playground, Clean Up in Photos, visual intelligence, and optional ChatGPT integration in supported experiences.

The feature rollout was more limited when the iPhone 16e launched than early coverage sometimes suggested. At launch, Apple Intelligence was available primarily in localized English variants in supported markets. With the release of iOS 18.4 on March 31, 2025, Apple expanded support to additional languages including French, German, Italian, Portuguese (Brazil), Spanish, Japanese, Korean, and Simplified Chinese, together with localized English for India and Singapore. The same update also brought Apple Intelligence features to iPhone and iPad users in the European Union.

Apple has continued expanding the platform since then. Its current Apple Intelligence support documentation lists a considerably broader range of supported languages and features, although availability still varies by language, region, and function. Apple also states that Apple Intelligence remains unavailable in certain circumstances involving mainland China.

It is also important to distinguish Apple's announced AI roadmap from features that are actually available. Some more advanced and personalized Siri capabilities remained under development after the initial Apple Intelligence rollout, so owning an iPhone 16e did not automatically provide every AI feature Apple had previewed.

The C1 Modem Was One of the iPhone 16e's Most Important Technical Changes

Alongside the A18, Apple introduced the C1 cellular modem in the iPhone 16e. It was the first cellular modem designed by Apple to ship in an iPhone, marking an important step in the company's long-running effort to bring more of its wireless silicon development in-house.

According to Apple's technical specifications for the iPhone 16e, the C1 supports sub-6GHz 5G and Gigabit LTE. Apple's specifications do not list mmWave 5G support for the device.

The significance of C1 went beyond raw network speed. Apple said the modem's efficiency, combined with the A18 and its power-management system, contributed to the iPhone 16e's battery life. Apple rated the phone for up to 26 hours of local video playback, up to 21 hours of streamed video playback, and up to 90 hours of audio playback. Those are manufacturer battery estimates, and real-world results vary with signal strength, settings, applications, and usage.

The 48MP Camera Is More Capable, but It Is Still a Single-Camera System

The rear camera is a 48-megapixel Fusion camera with optical image stabilization. It can produce 24MP or 48MP photos and uses the high-resolution sensor to provide a 12MP 2x option that Apple describes as optical-quality telephoto.

That does not mean the phone has two physical rear cameras. The 2x view is produced from the same main sensor. Unlike more expensive iPhone models with additional camera hardware, the iPhone 16e does not have a dedicated ultrawide rear camera.

Video recording includes 4K Dolby Vision at up to 60 frames per second, while the 12MP TrueDepth front camera handles Face ID, selfies, and video calls.

USB-C Arrived, but Some Premium Features Were Missing

The iPhone 16e uses USB-C for charging and wired connectivity, bringing Apple's entry-level model in line with the rest of its modern iPhone range. Data transfer through the port is limited to USB 2 speeds of up to 480Mb/s.

Wireless charging is supported through the Qi standard, but the iPhone 16e does not include MagSafe. That distinction matters for buyers who use Apple's magnetic chargers, stands, wallets, or other MagSafe accessories.

The phone also lacks the dedicated Camera Control found on several other iPhone 16 models. It does, however, include the configurable Action button, which can be assigned to functions such as the flashlight, camera, shortcuts, accessibility tools, or visual intelligence.

The $599 Price Changed What “Affordable iPhone” Meant

The iPhone 16e was cheaper than the mainstream iPhone 16 models when it launched, but it was not a direct continuation of the SE's ultra-low entry price. Apple's 2022 iPhone SE began at $429, while the iPhone 16e began at $599.

The tradeoff was that the 16e removed many of the compromises of the SE. Buyers received a much larger OLED display, Face ID, more starting storage, a newer processor, substantially more capable camera hardware, longer advertised battery life, USB-C, satellite-related safety features in supported regions, and access to Apple Intelligence.

For buyers primarily interested in entering Apple's ecosystem as cheaply as possible, the higher price was significant. For users coming from an aging SE, iPhone 8, iPhone 11, or another older model, however, the 16e represented a much larger hardware modernization than previous SE upgrades.

Later Context: Apple Followed It With the iPhone 17e in 2026

The iPhone 16e ultimately established a new naming and product strategy rather than serving as a one-off replacement for the SE. On March 2, 2026, Apple introduced the iPhone 17e as the next affordable member of its flagship family.

The iPhone 17e kept the U.S. starting price at $599 while increasing the base storage from 128GB to 256GB. It also moved to the A19 chip, added Apple's newer C1X modem, introduced MagSafe support, and retained a 48MP Fusion camera system. Apple said the C1X could operate up to twice as fast as the C1 used in the iPhone 16e.

That later release helps put the original iPhone 16e announcement into perspective. The 16e was more than a cheaper iPhone with AI features: it was the device that ended the long-running SE design strategy, introduced Apple's first in-house iPhone cellular modem, and established the “e” series as Apple's modern lower-cost alternative to its standard flagship models.