A new report from DSCC highlights the struggles that foldable smartphones are facing in the market. They just endured their first year-over-year decline, and things are expected to get worse. The report notes one reason for optimism though: Apple’s upcoming foldable iPhone.
Rapid foldable growth has ended sooner than expected
Foldables are still in their early days, but they’ve just hit an unfortunate peak. For the first time ever, Q3 2024 saw a year-over-year decline in panel procurements.
This apparently isn’t just a blip, either, as the display analysts at DSCC expect an entire year of decline coming up in 2025.
After enjoying at least 40% growth per year from 2019-2023, DSCC now believes the foldable smartphone display market will rise just 5% in 2024 and fall by 4% in 2025. Demand has stalled at around 22M panels. Foldable smartphone display procurement was down 38% Y/Y in Q3’24 and is expected to be down Y/Y in four of the next five quarters
This all seems like very bad news for companies banking on foldables.
Apple and the iPhone expected to turn things around
Unsurprisingly, the report expects Apple’s upcoming foldable iPhone to change the game.
The foldable iPhone is currently expected to launch in late 2026, and as a result DSCC forecasts that to be a record year for foldables overall as Apple reinvigorates the category.
Although the market has stalled and will decline for the first time on a panel procurement basis in 2025, there is reason for optimism. Apple is expected to enter the foldable market in 2H’26 and given their dominant position in flagship smartphones could generate significant growth for the foldable smartphone market. Any improvement in form factor, functionality, use cases, durability, etc. could drive new demand for this market. As a result, 2026 is expected to be a record year for foldables with over 30% growth and with over 20% growth projected for 2027 and 2028 as well.
If Apple’s foldable iPhone does indeed ship, it will no doubt have a big impact on the foldable market.
However, putting all the hopes for a smartphone category on the iPhone seems problematic. If the device has already hit a peak, these other smartphone makers likely have a bigger problem than Apple alone will solve.
A foldable iPhone would surely increase demand for foldables, but how much can it really change the fortunes of its competitors? Only time will tell.
What do you make of foldables starting to decline already? How much difference will the iPhone make? Let us know in the comments.
Best Apple discounts Cyber Monday
FTC: We use income earning auto affiliate links. More.
