Apple launches new iPhone SE starting at $399

Apple on Wednesday launched a new iPhone aimed at the budget-minded, aiming to fill a gap in its lineup ahead of upgrading its flagship handset.

The updated iPhone SE will start at $399, or less than half the price of its leading flagship devices and be available as of Friday.

"The first iPhone SE was a hit with many customers who loved its unique combination of small size, high-end performance and affordable price; the new second-generation iPhone SE builds on that great idea and improves on it in every way," said Phil Schiller, Apple's senior vice president of worldwide marketing.