Apple and Huawei Face Foldable Market Crunch
The global smartphone market is entering a difficult second half of 2026. Meanwhile, Huawei and Apple are preparing major foldable launches as rising memory costs pressure manufacturers and consumers.
Foldables Offer a Rare Growth Opportunity
Apple is expected to introduce its first foldable iPhone at its September 9 event. The launch will also mark incoming CEO John Ternus’ first major appearance at an Apple product event.
Meanwhile, Huawei plans to unveil the Mate XT 2 on September 7. The device will follow the company’s first tri-fold smartphone and reportedly adopts a redesigned inward-folding structure.
The timing is significant. According to IDC, global smartphone shipments could fall 16.7% in 2026 to just over 1 billion units. However, foldables remain an exception, with shipments forecast to rise 12.6% to 22.9 million units.
Furthermore, IDC expects the foldable market to expand another 18% in 2027. Apple’s entry is a major reason for that outlook.
Memory Costs Reshape Smartphone Competition
At the same time, smartphone makers face a severe memory shortage. AI data centers are consuming large quantities of advanced memory, while manufacturers face higher component costs for conventional devices.
Consequently, IDC expects average smartphone selling prices to climb 27.6% in 2026 to $581. The pressure will hit lower-priced Android devices particularly hard, while premium brands have greater pricing power and supply leverage.
Apple could therefore enter the foldable market at a favorable moment. IDC forecasts more than 17 million foldable iPhone shipments in 2027, giving Apple roughly 40% of the global foldable market.
Huawei Faces a New Premium Rival
Huawei, however, has already established a position in the foldable segment. Its Mate XT created a distinctive tri-fold category, and the Mate XT 2 will now test whether that advantage can withstand Apple’s entry.
Moreover, Huawei is gaining ground in China as the wider Android market contracts. IDC expects HarmonyOS shipments to nearly triple to 51 million units in 2026.
Therefore, the upcoming launches represent more than a contest between two premium devices. They also show how smartphone leaders are using differentiated products to defend margins during a supply-driven downturn.
For consumers, however, the equation is becoming tougher. Foldables may provide new choices, but higher component costs are likely to keep premium smartphones expensive through 2027.
