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There’s No Longer a Sub-$500 iPhone. Does It Matter?

Simon Osuji by Simon Osuji
February 19, 2025
in Artificial Intelligence
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There’s No Longer a Sub-$500 iPhone. Does It Matter?
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Then there’s the Dynamic Island on the iPhone 15, which is baked into the floating selfie camera bar. It makes use of the camera cutout by letting you access live app activities, like seeing how far away an Uber is or quickly hopping back into the Maps app. This is unavailable on the iPhone 16e, which has a static notch like the original iPhone X.

Finally, the iPhone 15 also has the second-gen ultra-wideband (UWB) chip, whereas the iPhone 16e doesn’t feature it at all—this is what enables you to precisely track the location of nearby AirTags. You can still track AirTags with the iPhone 16e, but the iPhone can’t point out exactly where it is in your vicinity.

By and large, those are most of the differences between the phones. It’s worth pointing out that the iPhone 16e is launching in fewer countries than other models—59 countries to be exact. Apple didn’t share why, but it may have something to do with the new C1 modem, as carriers often need to certify them for use.

The pro move? Stick to a used iPhone 15 Pro, which you can find for roughly $600 these days on sites like Swappa in Good condition, even less if you buy a carrier version. It includes Apple Intelligence if you really want it, plus you get many more extra features.

No More ‘Cheap’ iPhone?

The lack of a sub-$500 iPhone seems like a gaping hole in Apple’s smartphone strategy, but Maurice Klaehne, a senior research analyst at Counterpoint Research, doesn’t think it will affect consumers much, particularly in the US.

He says roughly 10 percent of iPhone sales in America come from Apple Stores, meaning the vast majority of the population purchases subsidized devices from carriers. While Apple may not directly sell older iPhones like the now-gone iPhone 14, these carriers still carry these devices that consumers can purchase for cheaper, not to mention the enticing promotions for newer devices. (Of course, these subsidized phones have caveats in that they’re locked to a network. That’s why we recommend unlocked phones as it doesn’t force you into a contract and allow you to freely switch carriers.)

Two Apple iPhone 16E showing screenshots of the iOS 18 app icons and fullscreen photo set as the background on each

Photograph: Apple



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