Apple has announced the launch of the new iPhone 16e, a new version of the iPhone 16 which offers similar features to previous models, including AI, at a more affordable price.

The new technology features Apple's latest A18 chip, Apple Intelligence, competitive battery life, and a 48MP 2-in-1 camera system that allows users to zoom in with enhanced optical quality.

Apple Intelligence is one of the phone's key features, providing access to ChatGPT which is built into writing tools and Siri without the need for a specific account.

A new action button on the phone relies on Apple's artificial intelligence to provide summaries and copy texts, translate texts between different languages, and detect phone numbers or email addresses.

Regarding privacy, Apple said it will obscure IP addresses so that OpenAI cannot store information, while users can control what they share with the AI model.

“Apple Intelligence marks an extraordinary step forward for privacy in AI and is designed to protect users’ privacy at every step,” Apple said, adding that many of the models that power Apple Intelligence run entirely on device.

The choice to expand its Apple Intelligence capabilities comes after the tech giant recently had to suspend the use of one its AI-powered features that generated inaccurate news notifications.

The AI feature, which groups and rewrites notifications from multiple news apps into a single alert on the iPhone lock screen, was launched in the UK in December 2024 with the aim of “making customers lives more efficient.”

However, the service sent customers inaccurate notifications and headlines thatey came directly from news apps, including the BBC, leading to service’s suspension.

The tech giant's focus on strengthening user privacy also comes after a Washington Post article alleged that British security officials have asked Apple to create a “back door” that would allow them to access the encrypted cloud content of Apple users worldwide.

The undisclosed order, issued last month through a technical capability notice under the UK's Investigatory Powers Act 2016, would require Apple to provide blanket access to fully encrypted material rather than only assist with specific accounts, sources told the newspaper.

The new iPhone 16e will be available in a white or black matte finish; users will be able to place preorders starting on 21 February, with products available on the market from 28 February. The product will be launched in the UK at a price of £599.

Kaiann Drance, Apple’s vice president of Worldwide iPhone product marketing commented on the launch: “We’re so excited for iPhone 16e to complete the lineup as a powerful, more affordable option to bring the iPhone experience to even more people.”

Earlier this week, Apple announced its partnership with Alibaba to bring Apple Intelligence AI functions to the iPhone in China.

Alibaba Group Chairman Joe Tsai confirmed the deal at the World Government Summit in Dubai. “Apple has been very selective,” he said. “They talked to a number of companies in China and in the end they chose to do business with us.”

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