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Will the iPhone 16e cannabilise the iPhone 16?

Posted on February 20, 2025February 20, 2025
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Apple’s new iPhone 16e has been announced, signaling the end of the iPhone SE product line. This is good news if you’re looking for a new iPhone but don’t have a huge budget. But Apple has made a new device that offers almost everything the iPhone 16 offers at a lower price. 

Let’s take a quick run down the specs of the iPhone 16e and iPhone 16. 


iPhone 16iPhone 16e
PriceFrom $1399From $999
Screen6.1-inch Super Retina XDR display6.1-inch Super Retina XDR display
Storage128, 256 and 512GB128, 256 and 512GB
Dimensions and weight147.6 mm x 71.6 mm x 7.80 mm, 170g146.7 mm x 71.5 mm x 7.80 mm, 167g
MaterialsAluminium with colour-infused glass back (Ultramarine, Teal, Pink, Black), Latest-generation Ceramic Shield frontAluminium with glass back, Ceramic Shield front (matte black or white)
Apple IntelligenceYesYes
Action ButtonYesYes
ProcessorA18 with 6-core CPU and 5-core GPUA18 with 6-core CPU and 4-core GPU
CommsSatellite, Wi-Fi 7, Bluetooth 5.3Satellite, Wi-Fi 6, Bluetooth 5.3
Camera ControlYesNo
CamerasAdvanced dual-camera system 48MP Fusion 12MP Ultra Wide2-in-1 camera system 48MP Fusion
Dynamic IslandYesNotch
Satellite commsYesYes
Battery life and charging 22 hours video playback, MagSafe, USB-C,  Up to 50% charge in 30 minutes18 with 20W adapter 26 hours video playback, Qi2, Up to 50% charge in 30 minutes18 with 20W adapter 
Splash/water resistanceIP68IP68

When you look down that list, the differences between the two devices boil down to camera tech, Wi-Fi 7 vs Wi-Fi 6, the colour of the back and one GPU core. The question that will leave many people with is “Are those things worth $400?”  

If I was buying a new iPhone today, the iPhone 16e looks like a very compelling proposition. The better battery life might be of greater value to many people than a fancier camera – not everyone is a content creator looking to become the latest YouTube or social media sensation. 

With Apple dumping iPhone 13 and iPhone 14 from its range and giving the iPhone 16e such an impressive array of features, we may see iPhone 16 sales drop away. But with Apple’s last earnings report and its average sale price across all iPhones sitting at around USD$900, Apple may feel that its margins on the iPhone 16e justify its pricing. 

Apple with almost certainly been able to reduce costs as it’s now using its own modems, the new C1 chip, instead of licensing the technology from Qualcomm. That lower price may deliver a better margin and justifies ‘stealing’ sales from the iPhone 16. 

Later this year, Apple will release the iPhone 17. It’s unlikely Apple will release an iPhone 17e then. But perhaps we’re entering an era where Apple has two annual iPhone releases. That would allow it to keep the iPhone in the public eye more, giving sales a boost. Its main competitor, Samsung, has several significant releases each year which helps keep them looking fresh and innovative. Perhaps Apple is happy to sacrifice iPhone 16 sales by offering a new iPhone variant between major releases.

At least until a folding iPhone comes to market.

Anthony Caruana

Anthony is the founder of Australian Apple News. He is a long-time Apple user and former editor of Australian Macworld. He has contributed to many technology magazines and newspapers as well as appearing regularly on radio and occasionally on TV.

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