Although Google Folded... Samsung Smiles as the 'Foldable Phone' Market Expands Amid China's Offensive

[Asia Economy Reporter Seulgina Jo] "Google has given up. Apple is still far behind. But China's offensive is getting stronger." This is the story of the global foldable smartphone market, where Samsung Electronics is virtually running solo.

In the second half of this year, Samsung Electronics' 3rd generation foldable phone has achieved better-than-expected results, while Chinese manufacturers emphasizing cost-effectiveness continue to release 'copycat' new products. Samsung Electronics, which has secured a winning position in the foldable phone market, plans to expand the shipment volume of the Z series next year to the level of the Galaxy Note series on a 'larger stage.'

◇ Flood of Copycats... Foldable Market Expands

According to industry sources on the 14th, Chinese smartphone manufacturer OPPO will hold 'OPPO Inno Day' on the 15th and unveil its new foldable phone, the 'OPPO Find N.' The OPPO Find N featured in the teaser video recently released by OPPO closely resembles Samsung Electronics' 'Galaxy Z Fold3.' It uses an inward folding method like a book, with a 7.1-inch internal display and a 5.45-inch external display. OPPO, ahead of the launch, stated, "We have solved issues such as display curvature and durability found in previous foldable phones," provocatively challenging the leader Samsung Electronics.

Huawei, which once competed with Samsung Electronics for the title of 'world's first foldable phone release,' will soon launch its new foldable phone, the 'Mate V.' Earlier this year, Huawei sparked controversy over 'copying Samsung' by unveiling the 'Mate X2,' reminiscent of the Galaxy Z Fold2. This time, Huawei adopted a clamshell design similar to the 'Galaxy Z Flip3,' doubling down on the copycat strategy.

Other Chinese manufacturers such as Xiaomi and Vivo are also preparing to release next-generation foldable phones and their first foldable phones, respectively. An industry insider said, "Latecomers emphasize their advantages over Samsung Electronics and compete on price, but the 'Samsung copy' is obvious," adding, "Unlike Google, which has effectively given up on the foldable phone market, Chinese manufacturers' foldable offensives are intensifying, and the global market size is expected to grow rapidly." According to market research firm Counterpoint Research, the global foldable phone market is expected to grow from 5.5 million units last year to 27.4 million units next year.

Samsung Electronics unveiled the foldable smartphones 'Galaxy Z Fold3' and 'Galaxy Z Flip3' at 'Galaxy Unpacked 2021.' On the 12th, customers visiting the Samsung Delight Shop in Seocho-gu, Seoul, are seen exploring the new products. The newly released products will be available for pre-order in Korea from the 17th to the 23rd and are scheduled for sequential global release on the 27th. Photo by Hyunmin Kim kimhyun81@

◇ Samsung Secures Victory, Expected to Surpass 10 Million Units Next Year

For Samsung Electronics, which took the lead in the market, the fact that the foldable phone market is expanding due to the participation of Chinese manufacturers is welcome news. In the third quarter of this year, Samsung Electronics' share of the global foldable phone market reached a whopping 93%. The gap in market share with Huawei, which is clearly technologically inferior and ranks second with 6%, is a staggering 87 percentage points. Moreover, Google, which was expected to be a formidable competitor, recently scrapped plans to launch its next-generation foldable phone, the 'Pixel Fold' (tentative name), and Apple's first foldable phone launch is still expected to take more time.

Having secured the winning position, Samsung Electronics is expected to accelerate its two-track 'super-gap' strategy next year by lowering the price of existing products and advancing with the technology of newly released products. The shipment target for foldable phones next year is set at over 10 million units. This is similar to the sales volume of the Note series, which is considered a 'cash cow' for Samsung Electronics' mobile division. The message from Samsung Electronics' management targeting the foldable phone market has shifted from 'popularization' to 'mainstreaming' this year, which can be interpreted in the same context. It is a blunt message to 'sell a lot' beyond just being a leader in foldable phones.

The current expansion of the 'Galaxy ecosystem' that Samsung Electronics is promoting is also expected to lead to the mainstreaming of foldable phones. Samsung Electronics recently changed the name of its wireless division to the 'MX Division,' emphasizing its intention to expand the ecosystem.

This content was produced with the assistance of AI translation services.