Samsung may have to innovate beyond AI to boost its smartphone sales. While Galaxy AI has been a key sales driver for the Galaxy S24 series, rapid AI adoption from other brands has quickly nullified the advantage. A reputed industry analyst suggests AI is unlikely to help the company improve Galaxy S25 sales next year. Perhaps that is why Samsung is working on a redesign and major hardware upgrades.
Galaxy S24’s AI craze declined fast, forcing Samsung to rethink its strategies
Galaxy AI is a suite of on-device and cloud-based AI features for high-end Samsung smartphones, tablets, watches, and other mobile devices. Introduced with the Galaxy S24 series earlier this year, the company added more tools to the suite last month. The Galaxy Z Fold 6 and Flip 6 added a cool new ability to quickly turn rough sketches into proper drawings. The new tools will soon roll out to compatible older models.
Surveys revealed that Galaxy AI boosted Galaxy S24 sales globally. The new flagships sold better than their predecessors in several markets, exceeding Samsung’s expectations. However, this AI craze only lasted for a few months. According to renowned analyst Ming-Chi Kuo, Galaxy S24 shipments have slowed since April. This could be because of but not limited to other vendors introducing AI features to their products.
Samsung is pitching Galaxy AI as a key USP of the Galaxy Z Fold 6 and FLip 6 too. However, the new foldables haven’t garnered a similar interest. Pre-orders in July were allegedly down 10% year-on-year (YoY) from 2023. Total shipments of the duo are estimated to be around 8–9 million units this year, less than their predecessors. Galaxy S25 shipments next could be similar to the Galaxy S24, suggesting a Galaxy AI stagnation.
As such, Samsung might have to rethink its strategies for the 2025 flagships. The company has already confirmed major hardware upgrades for the Galaxy S25 lineup. The new phones, particularly the Ultra model, may see a huge redesign. Samsung is also massively changing the look, feel, and usability of its Android skin with One UI 7.0. Time will tell if these innovations prove enough. The Galaxy S25 series arrives in early 2025.