iPhone 16 launch: Apple shares fall over 1% after tech giant launches iPhone 16, new smartwatch unveiled

Apple Event 2024: Apple Inc. stock fell on Monday as the tech giant unveiled its artificial intelligence-boosted iPhone 16, new Watches and AirPods at its highly anticipated annual event.

The highly anticipated “It's Glowtime” event is being held at Apple Park headquarters.

“We are thrilled to introduce the first iPhones designed from the ground up for Apple intelligence and its breakthrough capabilities,” Apple chief executive Tim Cook said at a event at the iPhone-maker's Silicon Valley headquarters.

“The next generation of iPhone has been designed for Apple Intelligence from the ground up. It marks the beginning of an exciting new era,” Cook said.

The iPhone 16 will work on the new A18 chip and will have an aluminum back, as well as a new customizable button that can also be used for camera control.

At 2:25 p.m. EDT, Apple stock was at $217.69, down $3.13 or 1.42%.

At 1:29 p.m. EDT, Apple stock was at $220.69, down $0.14 or 0.06%.

At 12:49 p.m. EDT, Apple stock was at $220.34, down $0.48 or 0.22%.

Before the opening of the US stock markets on Monday, Apple stock was trading at $221.20, 0.17% higher.

On Friday, the stock had closed down 0.70% at $220.82.

The Cupertino, California-based company unveiled a new version of its smartwatch and AirPod at the event focused on its AI-enhanced iPhone 16.

The Series 10 version of the watch has 30% more screen area, even with a thinner design, said the company.

The new Apple watch is about 10% thinner than the Series 9 version and also comes in a new titanium model, lighter than aluminum models.

Its price starts at $399 and will go on sale from September 20. 

Apple’s new AirPods 4 have a new design for more comfortable wearing and improved acoustics.

In June, the iPhone maker had organised a developer conference during which it had launched Apple Intelligence.

The iPhone 16 lineup is the first Apple smartphones designed around these AI features, though those will also be available on iPhone 15 Pro and Pro Max.

Apple Intelligence is similar to the generically named AI already available on Google's Pixel 9 and the Samsung Galaxy S24 released in January this year.

Last year, iPhones accounted for more than half of Apple's $383 billion sales.

Apple’s first iPhone was launched in 2007. Since then, Apple has sold billions of iPhones helping to create about $3 trillion in shareholder wealth.