Apple’s iPhone 16 lineup is finally getting an SE-like treatment, introducing the all-new iPhone 16e. While it lacks a few features like MagSafe, the Dynamic Island, and the “S” branding, this budget-friendly option still brings significant upgrades compared to previous SE models. With a larger and better display, extended battery life, the new Action Button, Apple Intelligence, an A18 processor, USB-C, and—most interestingly—a brand-new C1 modem, Apple’s billion-dollar acquisition of Intel’s modem development unit is now paying off.

A Budget iPhone That Feels Premium

On the surface, the iPhone 16e doesn’t seem drastically different, but this subtlety is a major shift. The last budget iPhone, the iPhone SE (3rd Gen), had a powerful A15 Bionic processor but was housed in an outdated chassis. This time, Apple has ditched the SE branding, positioning the 16e as an “Essentials Edition” that closely resembles a flagship model. The biggest visual differences are the classic notch, larger bezels, and a single rear camera bump.

One of the most surprising changes is the inclusion of an OLED display. Historically, Apple has reserved this for its higher-end models, using LCDs for budget devices. Though the 16e lacks Always-On Display and sticks to a 60Hz refresh rate, it still delivers 1200 nits of peak brightness, HDR support, and Apple’s ceramic shield for durability. The pixel density is nearly identical to the standard iPhone 16, making it an excellent display for most users.

Performance and Longevity

The iPhone 16e is powered by Apple’s new A18 chip, nearly identical to the non-E variant except for a missing GPU core. This means the phone will feel incredibly responsive and should receive 6-7 years of software updates, ensuring long-term usability. The downside? The phone only has 8GB of RAM, which, while on par with the rest of the iPhone 16 lineup, is underwhelming compared to similarly priced Android phones. However, the base storage now starts at 128GB, a welcome improvement.

A Single Camera That Does It All?

Apple has taken an interesting approach with the camera system on the 16e. Instead of separate lenses for wide and telephoto shots, the phone uses a single 48MP rear camera. Thanks to computational photography, Apple claims it can still deliver high-quality zoomed-in images using sensor cropping and AI-powered image processing. However, digital zoom will never fully match optical zoom, which is why higher-end iPhones still have dedicated telephoto lenses. The camera does support Dolby Vision video capture and high-quality audio recording, making it a solid choice for everyday photography.

The Missing Features: A Compromise?

Despite its impressive specs, the iPhone 16e does cut corners in a few areas:

• No MagSafe – Meaning wireless charging accessories won’t attach magnetically, though third-party cases with alignment magnets can solve this.
• Lower wireless charging speeds – Slower at 7.5W compared to MagSafe’s 15W.
• No Wi-Fi 6E or Wi-Fi 7 support – Missing out on the latest wireless technology.
• No Ultra Wideband (UWB) for precision tracking – Making AirTag tracking slightly slower.
• No millimeter-wave 5G – Reducing performance in dense urban environments.

The Big Deal: Apple’s C1 Modem

One of the biggest changes in the iPhone 16e is the introduction of Apple’s own C1 modem, marking Apple’s first step towards breaking free from Qualcomm. Back in 2019, Apple spent $1 billion acquiring Intel’s modem division, gaining over 2,200 employees and a massive portfolio of 177,000 wireless technology patents. The C1 modem supports 4G, 5G, GPS, and satellite connectivity but lacks millimeter-wave 5G and UWB.

So why did Apple invest so much in building an in-house modem? Beyond past legal disputes with Qualcomm, every modem purchase funds Qualcomm’s Snapdragon chips—the same ones powering Apple’s biggest Android competitors. By developing its own modem, Apple can cut costs in the long run and reduce its reliance on external suppliers. Apple claims the C1 modem offers better power efficiency than Qualcomm’s modems, but real-world testing will determine if it truly delivers.

USB-C, Finally

Thanks to the EU’s regulations, Apple has fully transitioned to USB-C, making life easier for users who no longer need proprietary Lightning cables. This shift allows for greater compatibility across a variety of devices.

What’s Missing?

Apple has officially killed off Touch ID, meaning Face ID is now the only biometric authentication option across all iPhones. Some SE users will miss the home button, and Apple’s decision not to integrate a fingerprint sensor into the Apple logo remains a missed opportunity. Additionally, iOS 18 has been receiving mixed reviews, with reports of frequent app crashes and bugs.

Is the iPhone 16e Worth It?

For those looking for an affordable iPhone with modern features, the iPhone 16e is a compelling option. It delivers a near-flagship experience while making reasonable compromises to keep costs down. However, users who prioritize premium features like high refresh rates, UWB, and MagSafe might still prefer the higher-end models.

The iPhone 16e goes up for pre-order on Friday, launching officially on February 28th. It will be available in just two colors—both relatively unexciting—but given its value proposition, this budget iPhone could still be a major success for Apple.