The iPhone 16e is the cheapest iPhone in Apple's smartphone lineup. It is designed for budget users, so it does compromise a little in the camera, modem, MagSafe, and other segments. One of these compromises could be causing issues with the Bluetooth functionality, which is causing music drops in Bluetooth earphones.
The Bluetooth issue frustrated a few users with the new iPhone, and they are posting on X, Reddit, and the Apple Support Community to explain the problem and express their frustration.
In this article, we will analyze the reports and explain what's going on with the Bluetooth functionality of the iPhone 16e.
Note: Some aspects of this article are subjective and solely reflect the writer's opinions.
Reports of Bluetooth earphone issues are flooding X, Reddit, and Apple Support Community

A few users are experiencing music delays, stuttering, and drops in Bluetooth earphones on their new iPhone 16e. The issue apparently seems to happen when two or more devices are connected to the iPhone. For example, an X user @FatherShed complained that their music started stuttering in their earphones when iPhone 16e was connected to the FitBit Inspire HR fitness band.
It doesn't seem like an isolated issue, as similar posts were also seen on Reddit and the Apple Support Community. For example, a Reddit user, AccomplishedBuyer695, posted that they were experiencing a similar Bluetooth issue, where the music would stop for a second before starting again. According to the user, this stuttering happened one to three times per song they played.

Reddit users also mentioned that they tried both Sony and Airpods and saw the same result, so the problem doesn't seem related to third-party earphones. Another user posted on Apple Support Community, complaining about a similar audio stuttering issue on Bluetooth earphones.

One user commented that this issue particularly happens when headphones and a fitness tracker are connected to the iPhone 16e simultaneously. However, this doesn't happen in other iPhone 16 models, which suggests this issue is unique to the iPhone 16e.
Has Apple acknowledged the Bluetooth issues in the new iPhone 16e?
Apple has yet to officially acknowledge this issue. However, a few users who complained about this Bluetooth mentioned that they directly contacted Apple about it, so it sounds like the company is aware of it and is probably working to deliver a fix via an iOS update. Hopefully, it is a software issue instead of a hardware problem, which could render it unfixable.
How can you temporarily fix music drops in Bluetooth earphones?
Since music drops and stuttering issues mainly happen when two or more Bluetooth devices are connected to the iPhone 16e, you should remove all of them except for the earphones, which should fix the stuttering and music drop until Apple delivers an official fix.
Also read: 7 reasons why you should buy the iPhone 15 over the iPhone 16e