Apple has released a sleeker and more expensive version of its lowest priced iPhone in an attempt to widen the audience for a bundle of artificial intelligence technology that the company has been hoping will revive demand for its most profitable product lineup.

Apple unveiled the iPhone 16e on Wednesday, emphasizing its affordability. But there's something in this phone that's far more interesting than its price tag: The C1 chip is brand-new Apple Silicon that could spell the end for Qualcomm's modems in future iPhones.