Apple's Foldable iPhone Could Be Cheaper Than Expected

[MacRumors]

Apple's long-rumored foldable iPhone may cost less to manufacture than previously expected thanks to major reductions in hinge component pricing, according to analyst Ming-Chi Kuo.

In a new report, Kuo said that the hinge designed for Apple's foldable iPhone is expected to carry an average selling price (ASP) of approximately $70 to $80 when mass production begins, well below the market expectation of $100 to $120 or higher. Kuo attributed the cost decline not to cheaper materials, but to "assembly design optimization" and Foxconn's influence in production scaling.

Foxconn has reportedly entered a joint venture with Taiwanese hinge maker Shin Zu Shing (SZS) to take on the majority of Apple's hinge orders. The new venture has secured about 65% of total orders, while U.S.-based Amphenol is expected to supply the remaining 35%. Kuo said that Foxconn holds a slightly larger stake in the partnership and is "steering future direction."

The expected drop in hinge pricing could significantly benefit Apple. Foldable smartphones are notoriously expensive to produce, with complex hinge designs adding both mechanical and financial challenges. A hinge ASP reduction of $20 to $40 compared to expectations could improve Apple's margins or enable more aggressive pricing to compete with established players such as Samsung and Huawei.

Kuo also suggested that Luxshare-ICT, one of Apple's fastest-growing manufacturing partners, could become an additional hinge supplier after 2027. With further competition, hinge costs could drop even lower.

The hinge mechanism is a critical component in any foldable device, determining both the reliability of the screen's movement and the long-term durability of the product. Designs under consideration have reportedly ranged from stainless steel and Liquid Metal hinges to lighter aluminum and titanium frames similar to that of the iPhone Air.

Whether the reduction in hinge price will reduce retail price or simply bolster Apple's margins is an open question. The company's first foldable iPhone is expected to launch in the fall of 2026, alongside the iPhone Air 2, iPhone 18 Pro, and iPhone 18 Pro Max.

Article Link: Apple's Foldable iPhone Could Be Cheaper Than Expected

 

[MacUserFella]

Apple will still probably make it expensive

 

[t0rqx]

Only cheaper to the customer is relevant.

 

[The Game 161]

good maybe means it will be priced same as samsung z fold line

 

[MayaUser]

No matter the price...Samsung and the others will copy cat

 

[neuropsychguy]

My prediction is the phone will sell for some multiple of $1 (or whatever the local currency is in a country).

 

[blcamp]

No th|anks.

 

[bobtamboo]

They’ll use it to improve their margins. We as customers won’t see it reflected in price.

 

[orbital~debris]

Article Link: Apple's Foldable iPhone Could Be Cheaper Than Expected

It could…

Then again, technically, it could be possible that Apple are going to start selling sugar water…

 

[lazyrighteye]

No way any savings gets passed on to the customer. That’s simply not in the playbook of a $3T company.

 

[azentropy]

Apple of course always passes on the savings to the customers!
/s

 

[Shirasaki]

The problem now is, will Apple actually RAISE the price further up after savings from more cost effective hinges, considering everyone else selling their foldable charges north of $2.2k, and generally people are more than happy to pay Apple tax regardless of the amount.

 

[jayducharme]

I can certainly see Apple reducing the price by $50 or $100. But that’s about it. For most people it wouldn’t mean much. It would still cost over two grand.

 

[Pezimak]

So it'll be 2000 instead of 2500... don't anyone kid themselves, this phone will NOT be cheap, no foldable phone is really.

 

[nfl46]

Haha. Were a year out, we shall see.

 

[Dejesus]

Apple's long-rumored foldable iPhone may cost less to manufacture than previously expected thanks to major reductions in hinge component pricing, according to analyst Ming-Chi Kuo.

In a new report, Kuo said that the hinge designed for Apple's foldable iPhone is expected to carry an average selling price (ASP) of approximately $70 to $80 when mass production begins, well below the market expectation of $100 to $120 or higher. Kuo attributed the cost decline not to cheaper materials, but to "assembly design optimization" and Foxconn's influence in production scaling.

Foxconn has reportedly entered a joint venture with Taiwanese hinge maker Shin Zu Shing (SZS) to take on the majority of Apple's hinge orders. The new venture has secured about 65% of total orders, while U.S.-based Amphenol is expected to supply the remaining 35%. Kuo said that Foxconn holds a slightly larger stake in the partnership and is "steering future direction."

The expected drop in hinge pricing could significantly benefit Apple. Foldable smartphones are notoriously expensive to produce, with complex hinge designs adding both mechanical and financial challenges. A hinge ASP reduction of $20 to $40 compared to expectations could improve Apple's margins or enable more aggressive pricing to compete with established players such as Samsung and Huawei.

Kuo also suggested that Luxshare-ICT, one of Apple's fastest-growing manufacturing partners, could become an additional hinge supplier after 2027. With further competition, hinge costs could drop even lower.

The hinge mechanism is a critical component in any foldable device, determining both the reliability of the screen's movement and the long-term durability of the product. Designs under consideration have reportedly ranged from stainless steel and Liquid Metal hinges to lighter aluminum and titanium frames similar to that of the iPhone Air.

Whether the reduction in hinge price will reduce retail price or simply bolster Apple's margins is an open question. The company's first foldable iPhone is expected to launch in the fall of 2026, alongside the iPhone Air 2, iPhone 18 Pro, and iPhone 18 Pro Max.

Article Link: Apple's Foldable iPhone Could Be Cheaper Than Expected

So it will be 2450 dollars instead of 2500? Now we are talking

 

[tridley68]

No thanks not falling for this gimmick .

 

[klasma]

That cost reduction is like a rounding error on the total list price.

 

[foobarbaz]

Apple, and all companies not going for commoditzation, will always price it at what they think the customer will pay. The manufacturing cost is just a lower limit for it. And what the customer will pay depends on how good it is compared to the competition and how cheap the competition is.

So if it gets cheaper to produce, it doesn't affect the price the market will bear. Only if it gets cheaper for everyone, competition might start forcing prices down. Look at Apple's storage prices and you know even that isn't always true if there's enough differentiation uoea

 

[iMac The Knife]

Write this one down...there's not a chance in hell the base price on the first Apple Foldable (book style) will be less than $2k.

 

[Unregistered 4U]

I mean… It’s NOT an open question.

 

[ItsASpider]

That's a strange way to write "Apple's Foldable iPhone Could Have Larger Margins Than Expected"

 

[t0rqx]

This product will probably fail like the Air has failed.

 

[t0rqx]

Write this one down...there's not a chance in hell the base price on the first Apple Foldable (book style) will be less than $2k.

$1999. 256GB. Write this down.

 

[navaira]

$1999. 256GB. Write this down.

And €2600 in Europe. We think you’re going to love it.