Foldable Phones Drive Smartphone Market Recovery in 2025

Smartphone Market Shows Signs of Recovery

The global smartphone market is experiencing a significant turnaround in 2025, with foldable devices emerging as the primary growth driver. According to the latest data from the International Data Corporation (IDC), worldwide smartphone shipments increased 1.0% year-over-year to 295.2 million units in the second quarter of 2025.

Foldable Innovation Sparks Consumer Interest

Foldable smartphones have transformed from niche products to mainstream devices, with major manufacturers like Samsung, Huawei, and Xiaomi leading the charge. Samsung's Galaxy Z Fold7 and Z Flip7 series, along with Huawei's Mate X2 and Xiaomi's Mix Fold models, are driving consumer excitement with their innovative form factors and premium features.

Market Performance Highlights

Samsung maintained its market leadership with 58.0 million units shipped in Q2 2025, representing 19.7% market share and 7.9% year-over-year growth. Apple followed with 46.4 million units (15.7% share), while Xiaomi shipped 42.5 million units (14.4% share). The market's recovery is particularly notable given ongoing economic challenges and global uncertainty.

China's Strong Performance

Mainland China's smartphone market grew 5% in Q1 2025, shipping 70.9 million units. Xiaomi returned to the top position for the first time in a decade, shipping 13.3 million units with 40% year-over-year growth. Huawei followed closely with 13.0 million units, maintaining double-digit growth.

Technological Advancements

The foldable segment has seen remarkable improvements in durability and technology. Samsung Display recently announced that its latest foldable OLED panels can withstand over 500,000 folding cycles, equivalent to more than 10 years of average use. This addresses early concerns about durability that plagued the first-generation foldable devices.

AI Integration and Premium Features

Beyond foldable designs, manufacturers are integrating advanced AI capabilities and premium features. Samsung's new Galaxy A36 and A56 products introduce AI-enabled features to mid-range devices, while Apple continues to push the boundaries with its iOS ecosystem and hardware innovations.

Market Outlook

Analysts project continued growth for the smartphone market, with foldable devices expected to account for an increasing share of premium segment sales. The global smartphones market is valued at $607.56 billion in 2025 and is predicted to reach $1,138.76 billion by 2034, growing at a CAGR of 8%.

As Anthony Scarsella, Research Director for Client Devices at IDC, noted: "Q2 was packed with new models, featuring innovative designs and the powerful integration of AI, which drove the 8th consecutive quarter of growth—a feat we have not witnessed since 2013."