Rumor: Apple exploring supply chain partners for foldable iPhone

iPhone is the star of Apple’s revenue show and makes its half of the yearly business, despite its robust traditional smartphone releases, rumors about a foldable iPhone continue to appear on the sideline.

A new report published by Taiwanese media is part of this rumor wagon, which suggests that Apple is now searching for supply chain partners to build its first foldable iPhone device.

The foldable phone market continues to ramp up sales in different markets and continuously gaining momentum among consumers. Amid their ultra-premium price and immature hardware material, customers are showing high interest in buying a suitable foldable phone.

According to CounterPoint Research, the global foldable smartphone market increased 27.5% year-on-year in the third quarter of 2023 and recorded 7.09 million unit shipments.

The report reveals that Apple is actively searching supply chains from Taiwan and South Korea for hinge and foldable display components. Major suppliers from Taiwan are sending hinge components for test samples.

Insiders mentioned that this year’s component sample frequency for tentative foldable iPhone is more than last year, which may be an indication of Apple’s growing effort toward the development of this device.

Information suggests that most of the components used in foldable phones including PCB, lenses, and processors are almost identical to traditional smartphones. Therefore, such devices focus on two key technologies – a hinge mechanism and a foldable display.

The yield rate for hinge components is high among Taiwanese suppliers and these companies are capable of providing high quantities. A few of the suppliers are already a long-term partner with Apple for non-foldable smartphone products.

On the other hand, Samsung Display may be another major supplier in Apple’s foldable phone plan. A piece of information from a Korean news outlet shows that Samsung Display is going through a structural reform.

The Korean display maker is also a large OLED panel manufacturer for iPhones and also a leader in foldable screens for Samsung’s foldable smartphones.

Talking about the reforms, Samsung Display is preparing for a large production capability to fulfill customer demand.

The latest rumor may also relate to shifting market conditions including high component production, reduced manufacturing costs, and improved parts quality.

Meanwhile, Apple has not made any comment on such rumors or a foldable iPhone, as there is no confirmation of its launch date.