Samsung doesnโt seem to be very optimistic about foldable sales this year. It expects to ship fewer Galaxy Z Fold and Z Flip units in 2025 than it did in 2024. The company will reportedly begin mass production of its foldable OLEDs for the Galaxy Z Fold 7 next month.
Samsungโs display division struggles with poor demand for foldable OLED panels
The sales estimate for the Z Fold 6 and Z Flip 6 in 2024 was initially 9 to 10 million units. However, Samsung lowered it to 7 to 8 million units by the end of the year. Considering sluggish sales last year, the Korean firm has set a modest sales target for the 2025 foldables. The targeted shipment volume of the upcoming Galaxy Z Fold 7 and Z Flip 7 is reportedly around 5 million units.
This also means a loss of business for Samsungโs display division, which produces the screens for these foldables. The Galaxy Z lineup uses about 90% of Samsung Displayโs foldable OLEDs, so it doesnโt have many big clients outside of the family. Unfortunately, with the upcoming Z series expected to see a substantial drop in sales, the total supply of displays this year will reportedly remain similar to 2024.
โAlthough the immediate volume is not large, Samsung Display is expected to begin mass production of OLED panels for the Z Fold 7 starting in April,โ and โOLED panels for the flip model and the two-fold trifold are also expected to be sequentially mass-produced in the second quarter of this year,โ a display industry insider said (via ZDNet Kora).
There are a number of reasons for the poor sales of the Galaxy Z series. Older users of the Z series donโt have a compelling enough reason to upgrade. The upgrade on the hardware front has not been particularly ambitious from Samsung either, which means not many new users are adopting the Fold series, and older users are not upgrading as often. Now, it will be interesting to see how Samsung fans respond when it launches its first tri-fold phone, which could happen in the second half of 2025.
Appleโs Foldable iPhone could boost sales of foldable OLED panels
Foldable OLED panels are a promising source of revenue for Samsungโs display division. However, with lower-than-expected Galaxy Z series sales, the overall growth of foldable OLED panels may slow down this year. If Apple launches its first foldable iPhone next year, there might be some mid to long-term growth potential.
Apple reportedly plans to sell 3-5 million units of its foldable iPhone for the initial year, with displays sourced from Samsung. This could boost sales of Samsungโs foldable OLED panels. As per Counterpoint Research, this year, the global foldable market might decline 4% year over year, though it might grow back in 2026.
Galaxy Z series typically arrives in two form factors โ an open-book-style foldable (Z Fold) and a clamshell-style foldable (Z Flip). This year, Samsung may make some changes to the display specification. The Galaxy Z Fold 7 could have a larger 8.2-inch display compared to the 7.6-inch display of the Galaxy Z Fold 6. It might also adopt some specs from the Z Fold 6 Special Edition, like a 200MP main camera.
