The iPhone 16e starts faster than the 2022 iPhone SE 3, giving Apple a boost in the competitive mid-range phone market. According to the latest sales data from Consumer Intelligence Research Partners (CIRP), Apple's latest budget model is having clear results. The iPhone 16e accounted for 7% of total U.S. iPhone sales in the first quarter, exceeding the performance of the 2024 iPhone SE.
The five iPhone 16 models together account for 74% of U.S. iPhone sales, up from 68% for the iPhone 15 series during the same period in 2024.
CIRP didn't mention a specific iPhone SE model, but it's obvious which one they're talking about. The last version released was the third-generation iPhone SE in 2022, which will last until 2024.
Early market performance suggests that the iPhone 16e is attracting buyers who previously tended to purchase older or discounted models. The share of older iPhones sold in the United States has dropped to 26% from 32% the year before.
This marks a key change. A lot of the iPhone SE's appeal is its familiarity—the home button, the small display, and the design that harkens back to the iPhone 6.
In comparison, the iPhone 16e not only has a modern look, but it’s also cheaper. It may be more attractive to consumers who want to have an affordable price without falling behind.
iPhone sales performance for two consecutive quarters. Image source: CIRP
It shares key specs with the standard iPhone 16, including the A18 chip and 6.1-inch OLED display, but is scaled back in a few areas. It lacks Dynamic Island, MagSafe support and an ultra-wide-angle camera, and uses slower wireless charging.
Sales of the base model iPhone 16 also increased, accounting for 20% of sales, up from 14% of last year’s iPhone 15. Meanwhile, the iPhone 16 Pro and Pro Max accounted for 38% of sales, down from the iPhone 15’s 45%. These shifts point to growing interest in Apple's mid- to low-end products.
It's unclear whether Apple will update the "e" models every year or continue the iPhone SE's slower update cycle. If the iPhone 17e comes out in 2026, the iPhone 16e may continue to be sold at a lower price.
The early success of the iPhone 16e shows that Apple is making a smart move. It fills a gap in the mid-range segment where Android makers have traditionally dominated. At the same time, it helps simplify the product line by offering modern hardware across the entire price range.