One of the primary reasons the iPhone 16e is less expensive than the iPhone 16 is due to the differences in their camera systems. While both models feature a 48MP main camera, the iPhone 16 has a slightly larger sensor, which typically produces better image quality, particularly in low-light conditions.

The iPhone 16e replaces the iPhone SE, last released in 2022, which was Apple's budget-friendly iPhone option. At $599, the starting price for the iPhone 16e is less than the $800 it costs for a standard iPhone 16, but more than the SE, which sold for $430.