HIGHLIGHTS
- The market for foldable phones is expected to reach 27.6 million units by 2025.
- The two form factors in the foldable phone industry are flip and fold.
- In 2021, foldable phones accounted for one-third of the premium Android market.
According to the latest forecast from market intelligence firm International Data Corporation (IDC), worldwide shipments of foldable phones with combined flip and fold form factors will reach 7.1 million units in 2021. The exports represented a 264.3 percent increase over the 1.9 million units supplied in 2020, according to the company.
IDC anticipated that the foldable phone category will continue to increase over time, reaching 27.6 million devices with a market value of $29 billion (approximately Rs. 2,17,500 crore) in 2025.
According to the firm's statistics, the percentage of foldable phones in the smartphone industry in 2021 was 0.5 percent, but it is expected to rise to 1.8 percent by 2025.
The CAGR of foldable phone shipments is also expected to be higher from 2020 to 2025 when compared to the 3.1 percent growth rate of normal smartphone shipments.
The success of Samsung's Galaxy Z Flip 3 and Galaxy Z Fold 3 was significantly responsible for the rise in 2021.
According to IDC Research Director Nabila Popal, despite having a modest market share, foldable phones accounted for one-third of the premium (above $1,000) Android market last year.
"Although the Flip appears to be more popular, it is still too early to proclaim a clear winner," Popal added. "Vendors should continue to keep a careful watch on the entire foldable industry as it grows and attracts new participants."
"The recent success of Samsung's foldable smartphones has given fresh life to the category as competitors scramble to enter the market," said Anthony Scarsella, IDC Research Manager. "Other manufacturers have already launched new foldables this year, and we expect other players to try to grab share away from Samsung as the form factor rises in popularity."
Last year, smartphone makers such as Huawei, Oppo, and Xiaomi joined on the foldable phone bandwagon by releasing models such as the Oppo Find N, Huawei P50 Pocket, and Mi Mix Fold.
Companies such as Google are also said to be releasing foldable phones in the near future. This would improve vendor rivalry and, as a result, provide more options at various price points.
Along with working on the hardware, Google and Samsung are building software particularly for foldable phones in order to make it more adaptable and separate from what we have on ordinary smartphones.
Google unveiled Android 12L as its operating system for form factors such as foldable phones last year. As part of Android 13, we may also expect several foldable-specific capabilities.
