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F-16 is in no sense outdated, in fact, recent versions (Blk 70+) offer formidable capabilities and EW packages. What's excellent about F-16 I like is its low operational cost and high availability.I feel the Rafale will be a future dependable of the IAF as it offers us everything in below fifth generation aircraft category in terms of aircraft characteristics and weapon characteristics.the only issue is that it is imported.it also has possibility of being further upgraded.
It will be our future mirage 2000 equivalent hopefully.
F16 on the other hand is just america being america and offering a very outdated platform at current time when we need future proofing and also not any impressive weapon suites for our needs.it brings nothing extra to the table for an imported maal.if you are going to induct foreign aircraft in the current spirit of atmanirbhar bharat it should atleast have some special tricks that only it can do.
If it had any chance of getting inducted america should have tried in the 1980s but then america would not have tried selling it due to relationship status.
If we are going to add another aircraft type now it only makes sense to add more rafales and then increase orders for lca.
That being said, it still doesn't beat Rafale/EF2000 in capabilities. We could have gone for F-16s in the medium weight category if we were not having LCA Mk-2 / MWF, but it makes no sense now, plus two-faced America and their arm-twisting tactics are what stopping IAF/IN to buy any frontline equipment for the offensive.
And fun thing is, we won't be facing any real 5 gen. level fighter at least in the next 10 years, till the time China improves their J-20/makes another one. We are pretty comfortable with Rafale till then.