Apple is scheduled to release its first foldable iPhone on Wednesday, at a product event that will be the first major event under new CEO, John Ternus.
The foldable iPhone is supposed to open up like a passport and may be one of Apple’s most expensive smartphones, as well, at more than $2,000. Despite the high price tag, analysts believe that the device could become the reigning king of the still small foldable phone market.
It would be “one of the biggest changes” to the iPhone since Apple did away with the physical home button in 2017 with the release of the iPhone X, according to the report. Apple’s last fiscal year, the iPhone accounted for slightly more than half of the company’s sales, totaling $209.6 billion.
The former chief of Apple’s hardware engineering will also take his first extended public stage as the CEO. It is believed that he will be using the event to showcase Apple’s strategy towards hardware innovation and AI.
Foldable phones have been around since 2019, from Samsung, and Huawei and others, but the market hasn’t been that big. Analysts believe Apple has the benefit of coming in late to the category and will have more time to overcome some of the potential problems like hinge durability and a visible crease that is created as the foldable screens are opened.
Despite a price tag of approximately $2,500, IDC analyst Nabila Popal believes strong demand will follow. She believes the foldable iPhone might enable Apple to make over $45 billion in revenue by the end of 2027, and Apple might grab about 40% of the foldable market by the end of next year.
Another problem with foldable phones is the fact that they are not waterproof or dust-proof. These features have been enhanced in recent devices from competitors, putting Apple on the defensive to come up with a more durable device.
Presuming Apple Watches and new premium iPhone Pro and Pro Max models will be present at the event. This year, Apple is said to be delaying updates to the lower-priced iPhone Air and base models until next spring, breaking from its annual product cycle.
AI will be a key focus as well. Apple has already announced that it is making some big changes to Siri, part of which will involve Google’s AI technology. The new assistant’s performance could be a key early indicator of whether or not Ternus can keep up with Google, OpenAI and other AI rivals, analysts note.
But new Siri has to overcome regulatory hurdles. However, analysts believe its complete deployment may be delayed in China and for the time being, regulations may restrict access in Europe.
