Apple's Foldable iPhone to Feature a Hinge That Costs Less Than Previously Expected, Analyst Says

Apple is expected to introduce its first foldable smartphone next year. As we wait for Apple's foray into the foldable phone segment, TF Securities International analyst Ming-Chi Kuo suggests that the foldable hinge might not be as expensive as previously expected. In his latest note, he says the cost per unit could be around $70 to $80 (roughly Rs. 7,000 to Rs. 8,000) once it enters mass production. Apple is believed to employ a combination of titanium and aluminium for the frame of the foldable iPhone. It could come with a book-style foldable design with a 7.8-inch internal display.

Foldable iPhone Could Be More Affordable Than Expected

In a post on Medium, Kuo writes that the hinge for Apple's foldable iPhone will have an average selling price (ASP) of around $70 to $80 during mass production, significantly lower than the widely expected $100 to $120 (roughly Rs. 8,000 to 10,000) or higher cost of the purported component.

The analyst credits this drop to assembly design optimisation and Foxconn's involvement, rather than a steep drop in upstream component costs. He also says the sharp reduction in the hinge's ASP enables Apple to lower costs and improve margins, or reflect the savings in its pricing to expand market share.

He states that Foxconn and Taiwanese company Shin Zu Shing (SZS) have set up a joint venture to handle production of the foldable iPhone's hinge. With Foxconn holding a slightly larger stake, it is also leading the strategic direction.

The joint venture has reportedly secured around 65 percent of the hinge orders, while Amphenol is said to handle the remaining 35 percent. Kuo also noted that Luxshare-ICT may join as an additional hinge supplier after 2027. This additional competition among suppliers could drive hinge prices down even further.

Apple's first foldable iPhone is expected to be released in September next year alongside the iPhone 18 series. The handset, which could be known as iPhone 18 Fold, is said to feature a frame made from a combination of titanium and aluminium. The Cupertino-based company could launch it with a price tag of $1,999 (roughly Rs. 1,74,000).

The foldable iPhone is expected to have a book-style foldable design, resembling Samsung's Galaxy Z Fold series models. It is rumoured to boast a 7.8-inch inner display and a 5.5-inch outer display. It could measure 9.2mm in thickness in the folded form and 4.6mm in the unfolded form.