The iPhone remains one of Apple's strongest products, but not every model achieves the desired market response. New reports from Asia suggest that the iPhone 16e is struggling with similar problems to the iPhone Air. Both models are apparently achieving lower sales figures than expected, despite their focus on a more affordable price point. Meanwhile, Apple is already working on successors, while the iPhone 17 series continues to garner increasing attention.
The idea behind a budget iPhone isn't new: modern technology at a lower price to reach a broader audience. However, the iPhone 16e and iPhone Air are currently failing to meet this expectation. Statements from a well-known Chinese leaker and reports from several US media outlets reveal how difficult it is for Apple to successfully establish a foothold in the entry-level segment. Despite weak sales, the company is sticking with future generations and focusing on technical improvements to regain customer trust.
iPhone 16e: Expectations missed
Weibo leaker "Fixed Focus Digital" describes the iPhone 16e as a commercial failure. Sales figures are said to be similarly low as those of the iPhone Air, even though Apple aimed to reach a price-conscious customer base with the device. No official figures exist, but the leaker's statements fit the picture of sluggish market performance.
Technically, the iPhone 16e is solidly equipped. At its launch earlier this year, it featured the A18 chip, an OLED display, the C1 modem, and a 48-megapixel camera. The starting price of €699 positions the model below the standard iPhone 16 series, without significantly compromising its technical specifications. Nevertheless, the overall package doesn't seem to be convincing. Reasons for this could include insufficient differentiation within the product line, a price that doesn't appear attractive enough compared to more powerful models, or a general saturation of the market for lower-priced iPhones.
iPhone Air: Production is ending
Meanwhile, the iPhone Air is considered a slow seller. Several reports indicate that demand is significantly below expectations. Apple is expected to completely halt production by the end of this month. This represents a much faster and more decisive response from the company compared to the iPhone 16e. An iPhone Air 2 was originally planned for September 2026 – alongside the iPhone 18 Pro. According to The Information, this timeline has now been postponed.
Despite the slump, Apple plans to continue with a successor.
Despite the current situation, development of both series is set to continue. According to recent information, Apple is already working on improvements for the next generations, with the aim of increasing their appeal in the entry-level segment.
iPhone 17e: Spring 2026 in focus
Apple is planning to equip the iPhone 17e with, among other things, the A19 chip. It's also rumored that the model will be the first to feature Dynamic Island. This would place it more firmly in the premium segment and represent a noticeable upgrade over the 16e.
iPhone Air 2: more technology, more battery life
Apple is apparently focusing on clearly visible improvements for the next iPhone Air. An additional rear camera, a larger battery, and a vapor chamber for better cooling are expected. This should make the model not only more powerful but also more future-proof. Apple is thus attempting to technically upgrade the series and create a clearer benefit than was the case with the original Air.
iPhone 17 series: Demand is rising
While sales of entry-level models are faltering, orders for the iPhone 17 series are increasing. This growing demand shows that the market continues to favor premium models – even at a higher price. This development presents Apple with a strategic challenge: the premium segment is performing well, but the budget segment is not delivering the desired performance.
Apple is focusing on optimizations in the lower price segment.
The iPhone 16e and iPhone Air clearly demonstrate how difficult it is for Apple to currently attract a broad customer base with affordable models. Despite competitive specifications, sales figures are falling short of expectations. With the iPhone 17e and iPhone Air 2, Apple is focusing on technical improvements, increased performance, and a clearer market positioning. Whether these innovations will be enough to strengthen the budget iPhone segment will become clear from 2026 onward. One thing is certain, however: the iPhone remains central to Apple's strategy, and the upcoming generations will have to prove whether this change of course is successful. The best products for you: Our Amazon storefront offers a wide selection of accessories, including those for HomeKit. (Image: Shutterstock / Kaspars Grinvalds)
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