Apple Plans First Foldable iPhone for 2026, Targeting Ultra-Premium Segment

Apple is preparing to enter the foldable smartphone market, with its first foldable iPhone expected to launch in the second half of 2026. The move marks a significant shift in the company’s product strategy as it seeks to redefine the ultra-premium mobile segment, even as rivals like Samsung, Huawei, and Google gain ground in the foldables race.

A High-End Bet with Limited Volumes

According to analysts at UBS and Korean media outlets, Apple plans to start with limited production—between 10 and 15 million units in its first year. The foldable device is expected to feature a book-style, crease-free 7.8-inch OLED display when opened and a 5.5-inch external screen when closed. Unlike competitors pushing foldables at multiple price points, Apple appears focused on the top end of the market, with a launch price reportedly between $2,000 and $2,400.

This aligns with Apple’s historical approach: enter late, but dominate in design, ecosystem integration, and hardware quality. Display production is reportedly underway through Samsung Display, which is supplying panels for the prototype phase, suggesting Apple is past early R&D and into design verification stages.

Foldables: From Niche to Norm?

Apple’s entry could be the tipping point for foldables. Global foldable smartphone shipments grew nearly 50% year-over-year in Q1 2025. But the category still represents less than 5% of total smartphone sales. Analysts believe Apple’s entrance—particularly if paired with a seamless iOS integration and ecosystem advantages—could push the segment into the mainstream.

Competitors aren’t standing still. Samsung’s Galaxy Z Fold 7 launched in July 2025 with an 8-inch internal screen, advanced cameras, and enhanced AI functionality. But Apple is betting that its loyal customer base and tight hardware-software integration will be enough to justify the premium.

If early pricing rumors hold, Apple’s foldable will become its most expensive iPhone ever, positioning it closer to the iPad Pro in both size and cost. That may create a new product category between phone and tablet—one Apple could scale gradually depending on reception.

Implications for the Supply Chain

Apple’s foray into foldables will have ripple effects across the tech supply chain. Samsung Display stands to benefit as the main screen supplier, and other players in the hinge mechanism, battery design, and thermal solutions may see incremental orders. LG Display and BOE could follow in future cycles if Apple seeks to diversify suppliers.

Upstream, the move is likely to drive innovation in ultra-thin glass, flexible batteries, and screen coating technologies. Contract manufacturers like Foxconn and Pegatron may need to adapt assembly lines to accommodate the new form factor.

Analysts are also watching how Apple balances innovation with reliability. Foldable phones are notoriously difficult to perfect, with concerns about hinge wear, display creasing, and water resistance. Apple’s delay may reflect an effort to avoid the missteps seen in early foldable launches from rivals.

The Strategic Angle

This isn’t just about form factor. Apple’s entry into foldables signals an intent to push the iPhone lineup further upmarket and extend its dominance in high-margin categories. It may also set the stage for more radical device transitions, including dual-screen tablets or foldable MacBooks.

The timing—2026—gives Apple room to watch consumer sentiment and component maturity, while also ensuring that the next wave of AI-enabled devices doesn’t overshadow the foldable pivot. Given the broader slowdown in smartphone upgrades, foldables could reignite consumer excitement.

Apple is rarely first. But when it finally enters a category, it typically doesn’t aim to compete—it aims to own.

Tips for Traders

• Watch Apple (NASDAQ: AAPL) for pre-launch speculation, supply chain chatter, and margin guidance shifts tied to foldables.

• Track Samsung Display (KRX: 005930), the likely key panel supplier in the early production cycle.

• Monitor upstream players like LG Display (KRX: 034220), BOE Technology, and hinge or glass component firms.

• Look to contract manufacturers such as Foxconn and Pegatron for production-line investment signals.

• Assess thematic ETFs focused on consumer electronics, foldable tech, and premium mobile hardware.

• Expect event-driven volatility near product announcements, typically within 3–6 months of hardware launches.