Foldable smartphone market is estimated to witness high growth, owing to increasing promotion of 5G technology and rising demand for compact mobiles
Global foldable smartphone market is estimated to be valued at US$ 23.89 Bn in 2024, exhibiting a CAGR of 19.8% over the forecast period 2024-2031. Increasing promotion of 5G technology across various countries along with rising data consumption have boosted demand for compact and feature-rich smartphones. Furthermore, advancements in display technology have helped smartphone companies to launch innovative foldable designs.
Market Dynamics:
Global foldable smartphone market is driven by two major factors - increasing penetration of 5G technology and growing demand for compact mobiles. 5G technology significantly enhances data transfer speeds and allows users to access high-quality multimedia content seamlessly. This has increased the adoption of 5G-enabled foldable smartphones globally. Compact smartphones with foldable screens offer portability along with large screen viewing experience. Key smartphone brands are aggressively promoting this unique feature that provides great usability as well as wow factor to consumers. Foldable smartphones satisfy the rising necessity of large touchscreens and portable form factor.
Market Drivers
Advancement in flexible OLED display technology
Global foldable smartphone market growth is driven by advancement in flexible OLED display technology. Flexible OLED displays have made it possible to create foldable and bendable screens for smartphones. Major display manufacturers like Samsung Display, LG Display and BOE have invested heavily in developing high-quality flexible AMOLED panels. This has reduced manufacturing costs and improved display durability, thus, making foldable designs commercially viable. The improved flexible displays are driving more smartphone manufacturers to launch innovative foldable models.
Growing demand for large-screen smartphones
Growing demand for large-screen smartphones from consumers worldwide can also drive the market growth. Traditionally, smartphone manufacturers increased screen sizes by making devices thicker and wider. However, consumers now prefer compact devices that have large screen. Foldable smartphones perfectly meet this need by offering huge screen real estate in a compact package. When folded, these devices have a normal smartphone form factor but unfold to provide a tablet-like experience. This unique selling point is driving many users to opt for the latest foldable devices.
Market Restraints
High manufacturing costs
Global foldable smartphone market can be hampered by high manufacturing costs associated with these devices. Developing robust yet flexible screens, durable hinges and waterproof structures increases component costs significantly. Low production volumes currently limit economies of scale benefits. This makes the first generation of foldable smartphones expensive and unaffordable for most users. It will take time and technological advancements to reduce costs to conventional smartphone levels.
Durability and reliability concerns
Concerns regarding durability and reliability of current foldable smartphone designs can hamper the market growth. The flexible screens and moving hinge mechanisms pose challenges, and are susceptible to damage from accidental drops or pressure. Early adopters of these devices have reported issues like screen cracks or bulges. This undermines user confidence and trust in the new form factor. Addressing long-term reliability through further innovation and testing is critical to alleviate such concerns and drive mass adoption.
Market Opportunities
Innovation in form factors
Further innovation in new form factors beyond simple folding screens can offer market growth opportunities. Concepts like rollable screens, dual-hinge designs or detachable laptop docks can offer unique experiences. This will help foldable smartphones to evolve beyond just being a niche product. Developing innovative yet practical form factors can capture imagination and excitement, driving new customers. It provides manufacturers first-mover advantages in new categories.
Partnerships with app developers and accessory makers
Building strong partnerships with app developers and accessory makers can offer market growth opportunities. With optimized apps and accessories, the full potential of large foldable screens can be realized. Developers creating bifurcated or resizable apps seamlessly transitioning between modes will improve user experience. Accessories like robust book style cases or mini keyboards can boost productivity capabilities. Such partnerships can create compelling ecosystem, thus, attracting broader consumer bases.
Global foldable smartphone market faces challenges due to high costs and reliability. Advancements in flexible display technology and consumer demand for large screens can drive the market growth. Addressing production efficiencies and durability issues through innovation can offer market growth opportunities. Exploring new form factors and building strategic partnerships offer opportunities to unlock the full potential of this new device category.
Link: https://www.coherentmarketinsights.com/market-insight/foldable-smartphone-market-4747
Key Developments:
- In February 2024, Motorola's adaptive display concept phone revolutionizes the foldable phone concept by offering unparalleled versatility and shape-shifting capabilities. Unlike traditional foldable phones that only fold in half, this device can adapt to various forms to cater to different needs. Its most innovative feature is the ability to wrap around the wrist, transforming into a 6.9-inch smartwatch.
- In October 2023, OPPO, a leading global smart device manufacturing brand, launched its innovative Find N3 and Find N3 Flip foldable smartphones worldwide. These devices offer groundbreaking experiences in imaging, design, and overall usability, empowering consumers to demand more from their next foldable smartphone. The Find N3 and Find N3 Flip deliver premium features and capabilities that raise the bar for the foldable smartphone category.
- In November 2022, Google, an American multinational technology company that focuses on online advertising, search engine technology, cloud computing, computer software, quantum computing, e-commerce, consumer electronics, and artificial intelligence, introduced its first foldable phone, and was launched alongside the Pixel tablet in 2023. The device is priced at US$ 1,799, which translates to approximately ₹1.5 lakh. It features two 9.5MP front cameras, with the first camera located in a hole punch cutout on the outer screen and the second camera visible in the top right corner of the inner screen bezel. The device also includes a triple-rear camera module, which can be attached to a camera strap when purchased.
- In April 2021, TCL, a Chinese multinational electronics company introduced two groundbreaking foldable smartphone concepts: the Fold 'n Roll and the Tri-Fold. The Fold 'n Roll transforms from a 6.87-inch phone to a 10-inch tablet by combining a folding hinge and an extendable mechanism, offering users a versatile form factor. This device can seamlessly shift from a standard phone to a larger tablet, catering to diverse user needs. Tri-Fold, meanwhile, employs two hinges to create a distinct foldable design that can expand up to 10 inches in tablet form, targeting a specific user group and demonstrating TCL's dedication to advancing foldable technology.
Key Market Players:
Samsung Electronics Co., Ltd., Huawei Technologies Co., Ltd., TCL Communication Technology Holdings Limited, Xiaomi Corporation, OPPO Electronics Corporation, Lenovo Group Ltd., Royole Corporation, ZTE Corporation, Microsoft Corporation, Motorola Mobility LLC, Kyocera Corporation, AsusTek Computer Inc., Energizer Holdings, Inc., Tecno Mobile Limited, DOOV (Shenzhen Doov Technology Co., Ltd.), HP Inc., Google LLC, Apple Inc., Meizu Technology Co., Ltd., Nubia Technology Co., Ltd.
