Today, Apple introduced the newest entry-level iPhone 16e, replacing the iPhone SE (3rd gen) as the cheapest (and most current) iPhone people can buy.
Breaking iPhone SE Traditions
This move has broken several traditions in the previous SE product line:
Product naming (quite obvious). Instead of being a standalone product line, it now officially belongs to the iPhone 16 family, resulting in five models available at once—Apple’s largest iPhone lineup to date.
Higher price point. Apple is steering away from the $399/429 price tag that has made the SE series more accessible to a broader range of consumers.
Modern design with Face ID. Typically, iPhone SE models launch about two years after a new design language is introduced. iPhone SE (2nd gen) was launched two years after the iPhone X with Face ID. Now, iPhone 16e is launched two years after the iPhone 14 Pro introduced the Dynamic Island. Since there’s less difference between Face ID vs. Dynamic Island than Face ID vs. Touch ID, the new iPhone 16e appears more modern than previous SEs but it does fall within Apple’s normal steps.
I believe this represents a significant shift in the product line. Unlike a typical fall iPhone refresh, the iPhone 16e carries a bigger strategic importance for Apple. I plan to dedicate several blog posts to discuss this new product and share my thoughts. This first post will focus on the product itself—essentially serving as a buying guide—because its design and features are already familiar to many iPhone users so you don't need to review the actual unit to make some judgement.
Tomorrow’s iPhone 16e is yesterday’s iPhone 14 (sort of)
Surprisingly, the launch of the iPhone 16e goes beyond simply replacing the iPhone SE (3rd gen). Its starting price of $599 USD directly replaces the price band of the iPhone 14 as well.
kill two iPhones with one launch
Before making any purchasing recommendation, I’d like to ask a couple of questions:
For the same extra 100 bucks than iPhone 14 and iPhone 16e price, is the iPhone 15 more attractive than before?
If I only have $599, should I buy an iPhone 14 still in stock, or wait for the new iPhone 16e?
Using Apple’s official comparison tool, it’s easy to see the differences: https://www.apple.com/iphone/compare/?modelList=iphone-15,iphone-16e,iphone-14. For readability, I’m only listing the major differences below.
iPhone 16e secretly removed Magsafe and UWB function
Marketing 101
When a company is trying to sell something to potential customers, a basic marketing concept is to keep the decision making process straightforward. This is more critical when a company has a complex product portfolio. Remember the last time you couldn’t decide between two dishes in a restaurant? The more confusion consumers face, the more likely they’ll postpone or abandon purchases.
From Apple’s perspective—whether you’re switching from Android or upgrading from an older iPhone, and whether you want a maxed out 1TB iPhone Pro Max or a basic 128GB iPhone 16e—the less hesitation and confusion, the better. Thus, it's more helpful for Apple to have clear separations between different products so it's easier for consumers to decide which iPhone to get.
The Boring Part of Spec-Gobbling
Until today, the difference between iPhone 14 and iPhone 15 was fairly subtle. If consumers were going to spend $599-699 on an iPhone, it’s not that easy to decide which one to get. Being the most obvious change, the Dynamic Island may not justify the upgrade for many consumers. I’m not suggesting the A16 performance boost or the 48MP cameras lack value, but their perceived impact is lower compared to a visible design difference, at least in layman’s terms.
After today, with that same 100-dollar gap, the new iPhone 16e actually makes the iPhone 15 stand out in sharper contrast. Spending an extra 100 dollars no longer just gets you the Dynamic Island—it also adds a second camera. By secretly removing Magsafe and UWB from iPhone 16e, Apple has effectively made iPhone 15 a much better option by unlocking important software features and an extensive ecosystem of accessories. Practically overnight, that 100-dollar premium covers a bigger package of improvements and now feels like a better deal than before.
On paper, the new iPhone 16e helps Apple clarify its product roadmap by building a more pronounced distinction between the iPhone 15 and the entry-level iPhone. In my opinion, following the basic marketing concept mentioned before could drive higher sales for both, because it simplifies the decision compared to iPhone 15 vs. iPhone 14.
Oh, then some of you might also ask, “Wait a second, I don’t think this is the case. What about the A18 chip and Apple Intelligence that the iPhone 16e has, but not the iPhone 15? Don’t people want that too? Wouldn’t that confuse potential buyers?” To a degree, yes. My assumption is that after six months of marketing, Apple is starting to believe that Apple Intelligence alone isn’t compelling enough to drive purchases. From a product line consistency standpoint, Apple probably views it as a necessary trade-off in order to name it under the iPhone 16-series and set a higher price. (I’ll try to cover my reasoning in my next post.)
Fortunately for Apple, this trade-off/confusion won’t last long. By September 2025, the iPhone 15 will be retired and replaced by the iPhone 16 at $699 as routine. That brings up a third question: should I wait half a year for the $699 iPhone 16?
the iPhone 16 is a much better all-rounder than iPhone 16e, and it will only cost $100 more in 6 months
At this moment, as a consumer, you should also ask, “This sounds like a good plan for Apple, but what’s in it for me?”
With this second chart, let’s revisit the three questions and see how it can help you make a purchase decision:
For the same extra 100 bucks than iPhone 14 and iPhone 16e prices, is the iPhone 15 more attractive than before?
If I only have $599, should I buy an iPhone 14 still in stock, or wait for the new iPhone 16e?
Should I wait half a year for the $699 iPhone 16?
Which Entry-level iPhone Should I Buy in 2025?
Question #1: The iPhone 15 does appear more attractive than it used to, but this is largely artificial (no intelligence suffix here). It’s a textbook case of price discrimination aimed at those who aren’t closely following product cycles. The iPhone 15 is somewhat awkward in the current lineup, and I personally wouldn’t recommend buying it right now.
Question #2: If you really only have $599, and there are still some iPhone 14s (plural, not model name) available around you. I’d recommend the iPhone 14. Overall, its Magsafe support and the additional ultra-wide camera might outweigh the benefit of Apple Intelligence for most users at this stage. The performance of Apple C1 Modem performance still takes time to be validated.
However, if you really want those Apple Intelligence features (like the cute Genmoji), you can always find third-party apps that offer similar functionality—or go for the iPhone 16e if you want the original Apple experience.
Question #3: If you are not urgently looking for a new phone, I think waiting six months for the cheaper iPhone 16 is probably your best bet. You’ll get a well-rounded device that should stay relevant for another three years, all at a decent price and great value.
TLDR:
iPhone 16e if you specifically want Apple Intelligence features with limited budget.
Between March 2025 and September 2025: If you need a budget iPhone, go for an iPhone 14.
From September 2025 onwards: Get the iPhone 16, starting at $699.
Final iPhone purchase guide in February 2025
Also referring to the suggestions I provided when the iPhone 16 series launched—here is a comprehensive recommendation:
Current iPhone
13–15 owners: Upgrade only if you want to record spatial content or AI right now, get iPhone 16 or iPhone 16 Pro depending on your budget.
12 or older: Upgrading is generally recommended, go to question 2.
Budget
If you can afford Pro → iPhone 16 Pro.
Otherwise → Go to question 3.
Do You Need It Right Now?
Yes
Is Apple Intelligence mandatory for you?
Yes → Get iPhone 16e
No → Get iPhone 14
No
Wait half a year → Get iPhone 16
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In my next blog post about the iPhone 16e, I plan to explore how it evolved into its current form (with some educated guesses, since in-depth analysis would require insider info), why it could be an essential product for Apple, and how it might hint at future developments in Apple’s iPhone lineup.