iPhone 16e: Apple releases ‘more affordable’ new model but how does it compare to other iPhones and how much does it cost?

Budget iPhone, the iPhone 16e, includes its new AI tools and latest processor in what Apple says is a “more affordable” handset.

It will go on sale on Friday February 28 in the UK, the tech giant confirmed, starting at £599 – £200 less than its current cheapest iPhone 16 device, which was released in September.

The handset will come with the firm’s latest software, iOS 18, and the same A18 chip which powers the iPhone 16 range, including its new Apple Intelligence AI tools, which can be used to help edit text and photos, transcribe audio, refer to ChatGPT when needed and help with a range of creative tasks such as image and emoji generation.

The inclusion of Apple Intelligence on the 16e is a notable milestone for the iPhone maker and its AI features, as it is the first time the new tools will be made available to users outside of its current top-tier iPhone 16 and most powerful iPhone 15 Pro handsets.

Until now, rivals Google and Samsung have had their AI tools available on a broader range of their new and older smartphones.

Kaiann Drance, Apple’s vice president of worldwide iPhone product marketing, said: “iPhone 16e packs in the features our users love about the iPhone 16 line-up, including breakthrough battery life, fast performance powered by the latest-generation A18 chip, an innovative two-in-one camera system, and Apple Intelligence.

“We’re so excited for iPhone 16e to complete the line-up as a powerful, more affordable option to bring the iPhone experience to even more people.”

Industry expert Ben Wood, chief analyst at CCS Insight, said the broadening of availability for Apple Intelligence was a key moment for the iPhone, but also noted the introduction of C1, the firm’s first ever own-built cellular modem – the device which enables wireless connectivity, such as 5G.

“This is a key product for Apple and a very important part of the iPhone portfolio as it delivers a device that takes Apple Intelligence to a new, lower price point,” he said.

“Although most consumers will be most interested in a new iPhone being launched, from an industry perspective, the big news is the introduction of Apple’s own modem, the Apple C1, which is the first cellular modem designed by Apple.

“The arrival of Apple’s own modem platform will have a long-term impact on its business.

“This marks the beginning of an ongoing journey that we expect will see Apple seek to develop even more integrated products and could result in cellular connectivity also coming to its popular Mac (computer) line up.”

So how does the 16e compare to the rest of the iPhone line-up?

– Power and performance

Apple said the new 16e is powered by its own A18 processor – the same chip that powers the iPhone 16 and 16 Plus – and has the same 6.1-inch Super Retina XDR display as the 16.

Running Apple’s latest software – iOS 18 – alongside the A18 means the 16e can run Apple Intelligence, the suite of artificial intelligence tools that until now was only accessible to iPhone users with a 16 or a 15 Pro.

Apple claims the battery life on the 16e is the best it has ever offered on an iPhone of this size.

– Camera

Unlike the flagship iPhone 16 devices announced in September, the 16e does not come with a multi-camera system, and only has one rear camera lens.

Apple calls this two-in-one camera system with a 48-megapixel Fusion lens and an integrated 12-megapixel telephoto lens.

However, this short of the dual camera system available on the next cheapest iPhone, the 16, which as well as the two-in-one camera also has a 12-megapixel ultra-wide lens.

The 16 Pro models have an even more powerful triple camera system.

– Other hardware

As is now the norm for iPhone models, the 16e comes with a USB-C connector for charging and wired data transfer, the same as on most other electronic devices these days, including Apple Mac computers and the iPad.

However, the iPhone 16e does not support the “floating” Dynamic Island at the top of the screen which houses the front-facing camera and can also show small snippets of information, which is found across the rest of the 16 range.

Instead it has the older “notch” at the top of the screen, which still houses the front-facing camera but cannot display any animations or information.

But it does include the Action Button, also found in the iPhone 16 range, which can instantly open a favourite feature instantly, and can be used to launch Visual Intelligence, Apple’s image-based AI search tool for finding out more about subjects and objects spotted through the camera.

– Price

Starting at £599, it the 16e is £200 cheaper than the next cheapest device, the base model iPhone 16.

Prices rise to £899 for an iPhone 16 Plus, £999 for a 16 Pro and £1,199 for the flagship 16 Pro Max.