Apple’s $599 iPhone 16e It is the biggest refresh ever made by the company’s low-cost phone (formerly known as the iPhone SE) and cannot arrive at a better time. Has generated AI needs More powerful specificationsand U.S. tariffs on imports from China Apple’s entry-level iPhone could add to the cost and could offer enough new features that are worth upgrading from an earlier iPhone SE. But those previous iPhone SE owners will face a big rise, with iPhone 16e cost ratio $429 iPhone SE Starting from 2022.
In addition to economic considerations, iPhone 16e Represents a very small number of times Apple rethinks its entry-level phone. The last iPhone SE refresh in 2022 mainly adds 5G connectivity and iPhone 13. This allows iPhone SE to have faster cellular speeds and run most applications. However, Apple’s iPhone SE is behind when compared to a similarly priced 2025 Android phone. The new Android phones are priced at $500 or below, with a large 120Hz refresh rate display, a 50-megapixel main camera, and support for wireless charging. Meanwhile, the iPhone SE is in trouble, with its outdated design dating back to 2017 iPhone 8. And because of its Lightning Port, SE cannot be sold in EU countries due to the need for a USB-C-enabled phone.
This makes the new 2025 entry-level iPhone not only welcome, but also requires the success of Apple this year. It should enable Apple to re-enter markets like the EU, while providing enough new devices for shoppers who want to get the value of longer-lasting smartphones.
In Apple’s iPhone 16e announcement video, the company showed off its new phone using various Apple Intelligence features. Here, it is drawing on its ChatGpt integration to propose help in carrying out a dinner party.
iPhone 16e is a huge opportunity for Apple intelligence
The company’s AI feature set, Apple Intelligence, appears to be driving Apple to refresh its entry-level devices with more powerful hardware to increase adoption. This already includes new $499 iPad miniequipped with the A17 Pro processor – same as the one in the iPhone 15 Pro – then restart Mac mini Desktop computer with $599 model with 16GB of RAM.
Apple adopts the same strategy with iPhone 16e. It gives the phone an A18 processor that can run Apple Intelligence and withdraws other features to achieve lower costs, such as pairing with a single rear 48-megapixel camera and a 12-megapixel selfie camera. Apple is giving up Dynamic Islandwith prominent features in the company’s current iPhone lineup, and omitted faster magsafe wireless charging And comes with 7.5 Qi wireless charging seen on the previous iPhone SE (charged at 20 watts of 16E USB-C port).
In exchange for these compromises, the iPhone 16e has enhanced Siri Assistant, visual intelligence, generative emojis, text editing tools, and Chatgpt integration in Siri. Among the nice advantages, the iPhone 16E contains action buttons that can be customized for many shortcuts.
In EU countries, the iPhone 16e will be the cheapest phone sold by Apple, at €699 (due to the use of USB-C). Currently, the 849 euro iPhone 15 is the most affordable phone Apple has sold in the EU, as it is the first model to include a USB-C port.
The iPhone 16e has a single rear 48-megapixel camera and a 12-megapixel selfie camera.
Apple’s low-cost focus is coming, tariff loom
Apple has a knack for refreshing its entry-level iPhones to reach turbulent economic moments. In April 2020, the company launched a refresh, $399 iPhone SE In the early waves of the 19009 pandemic. according to Opposite researchthat phone, next to it iPhone 11helps maintain Apple during a period of expected decline in smartphone sales.
Now in 2025, a new one US tariffs on Chinese goods 10% This may mean a corresponding increase in electronic costs. Such tariffs, as well as other expected expenses Groceries and other goodsmay lead families to take a more conservative approach to their personal budget.
This makes the iPhone 16E especially suitable, a more affordable phone option that gets years of iOS software updates. But with the launch of the iPhone 16E, which costs over $500, in some ways, we’ve seen this price spread in the entry-level aspect of Apple’s iPhone portfolio. Starting in 2022, the $429 iPhone SE is no longer available on Apple’s website, which means $599 is now the lowest you can spend on a new iPhone. If you want fewer iPhones, the only option to move forward is in the used and refurbished market.
This also means that Apple’s new iPhone 16e faces competition from Android phone competitors $650 Samsung Galaxy S24 FEthis $600 OnePlus 13r and $499 Google Pixel 8A. All three reflect the manufacturers’ own strategy of Apple’s use of the iPhone 16e – they provide enough functionality for applications and AI, but some hardware features have been scaled to a lower price.
The graphics detail the various iPhone 16e features.
Apple needs to refresh its entry-level iPhone more frequently
Apple’s record of consistent choice for customers with limited budgets is sporadic at best. Samsung, Motorola and Google release new low-priced phone options every year, and Apple’s years of approach brings its entry-level phone to the brink of stagnation.
The lack of AI support for iPhone SE in 2022 and the EU’s USB-C port may be the driver of Apple’s release of iPhone 16E rather than actually meeting market demand. And launch 16e at price More than $500Apple is certainly not aimed at people who really realize that they want a new phone at the lowest price cost.
Watch the following: I’ll take a look at Apple’s iPhone 16 Audio and Video Lab from the inside
The name from iPhone SE to iPhone 16e may be more common to indicate the willingness to iterate on entry-level phones more frequently, but that is not guaranteed. Back in 2013 Apple’s $549 iPhone 5c A similar lower-cost alternative to the iPhone 5s of that year, but Apple did not follow up on the annual refresh.
If Apple makes a more consistent iteration in the entry-level aspects of its iPhone lineup, it is very likely that the company will occupy a more affordable market. Instead, Apple stuffed this space to Samsung, his $200 Galaxy A model Often on the Counterpoint Research list The five best-selling phones in the United States overall. For example, in September 2024, the $200 Samsung Galaxy A15 5G ranked fifth, with the top four iPhone models accounting for $699 and above.
Whether Apple wants to refresh its entry-level iPhone or just need to update it, the iPhone 16E is also ideal for those who “just want an iPhone”, with hundreds of modern features fewer than Apple’s current flagship models.
