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Samsung Electronics has added enhanced artificial intelligence features to the annual refresh of its foldable phones, as the company aims to fend off competition from Chinese rivals in the fast-growing market.
The South Korean company was a pioneer in the premium niche segment thanks to its strong position in flexible displays, but Chinese conglomerates are rapidly expanding their market share with more affordable models.
Samsung on Wednesday unveiled its Galaxy Z Fold6 and Galaxy Z Flip6 smartphones, priced at $1,899.99 and $1,099.99 respectively, at an event in Paris aimed at stoking interest in AI-powered foldable devices ahead of the Olympic Games.
In January, the company launched its flagship Galaxy S series, which could run generative artificial intelligence functions “on-device,” in a bid to revive the mobile phone market, which suffered its worst year in a decade in 2023.
The company said Wednesday that it is “opening the next chapter of Galaxy AI by leveraging the most versatile and flexible form factor perfectly designed to enable a range of unique mobile experiences.”
The phone’s launch comes at a critical time for Samsung, as it battles with Apple for the top spot in smartphone sales and consumers move to more expensive premium devices. The US tech group is expected to unveil a new iPhone with generative AI capabilities this year.
The latest foldable phones are thinner and lighter with greater durability. The Galaxy Z Fold6 smartphone offers AI features to maximize the large screen and boost productivity, including live phone call translation, voice recording transcription, video search, and photo editing.
Samsung’s share of the foldable smartphone market has halved over the past year to 29.9 percent, followed by China’s Huawei with 23.5 percent and Honor with 14.8 percent, according to first-quarter figures from research firm IDC.
“It is vital for Samsung to regain momentum,” said Canalys Analyst Sheng Win Chow. “To stand out, we expect Samsung to lean further on Galaxy AI to explore new integrations and features with its foldable devices and broader ecosystem categories.”
Samsung’s AI-powered flagship S24 smartphone was well received by consumers, outselling its predecessors. IDC expects generative AI-powered smartphones to capture 70 percent of the total smartphone market by 2028, with a compound annual growth rate of 78.4 percent.
“The evolution of the technology will have the most impact when it comes to mid-range devices in 2026, which will represent the biggest leap toward democratizing generative AI,” said Nabila Popal, senior research director at IDC.
However, the high prices of foldable phones mean they aren’t mass-market products that can contribute significantly to Samsung’s profits. Foldable phones account for less than 2 percent of total smartphone shipments and are about three times more expensive than non-foldable phones, with an average selling price of about $1,400, according to IDC.
Samsung also unveiled a range of wearable devices on Wednesday, including an improved smartwatch and a new ring with enhanced health monitoring features.
Analysts remain skeptical about how much AI can boost Samsung’s smartphone sales as the market matures. “Their AI features unveiled so far look good and have been well received, but they don’t seem to be a game-changer yet,” said James Lim, an analyst at U.S. hedge fund Dalton Investments.