I've had the same problem on the same laptop (Dell XPS 13 9350) with Ubuntu 
Gnome 16.04.
I've had this since I've started using the networkmanager-openvpn and 
networkmanager-vpnc plugins in order to be able to connect to a VPN service. 
Also, since I've been using Xenial since the beta release (and thus having 
"passed through" all of the kernel updates) I do not think that this is a 
kernel issue but rather a NetworkManager one (or the VPN plugins).

I've managed to overcome the issue like this:

Whenever my wifi was recognised as wired if I restarted the network-
manager service with

sudo service network-manager restart

wifi was back again.

In order to automate this and not do it every time after login I've
simply added the above command on

/etc/rc.local

Now everything works fine...until an official fix is issued (...again
IMHO a NetworkManager issue).

I hope that this will work for you as well.

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https://bugs.launchpad.net/bugs/1569484

Title:
  Auto Ethernet connection profile appears. Wifi does not work anymore.

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