Transcript:
Conway Gittens: Details are out for the newest member of the iPhone family. Apple is replacing its cheapest model - the iPhone SE - with a new phone, the 16e. The low-price model goes on sale the final week of February with a price tag of $599.
As hinted in the promo released by CEO Tim Cook, this upgrade gets rid of the iconic home button that’s been around ever since the first iPhone. Instead, users will use Apple FaceID to unlock the phone. The 16e also gets a modern touch that includes a sensor notch at the top of the screen. Besides cosmetic changes, the device runs on the Apple A18 chip currently in use in the higher-end iPhone 16. This means this cheaper model doesn’t sacrifice on processing power. Another thing not being sacrificed - access to AI. The low-cost device can utilize the power of Apple Intelligence.
In order to keep costs down, Apple brought production of the phone’s cellular modem in-house - instead of buying it from Qualcomm. There’s also only one camera lens, versus the three on higher-end iPhones.
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Apple normally waits until September to debut a new iPhone - but sales of its most important device declined globally in 2024. While the new iPhones released last year were AI-ready, customers were less than impressed with its capabilities.
Turning to markets this Wednesday. The S&P 500 notched a fresh record closing high for the second day in a row. Minutes from the Federal Reserve’s January meeting show policymakers were inclined to move slowly on any more interest rate cuts. They want to see if Trump’s tariff policies further add to a resurgence in inflation.
That’ll do it for your Daily Briefing. From New York City, I’m Conway Gittens with TheStreet.
Related: Tim Cook surprises Apple lovers with February product launch
