With Huawei hot on Samsung's tail, all eyes are on upcoming Galaxy foldables

Samsung's upcoming Galaxy Z Flip 6 and Z Fold 6 will emphasize AI functions and improved camera specs to compete with Chinese rivals like Huawei. The success of these new foldables is crucial as the market becomes more competitive.

A leaked promotional image of Galaxy Z Fold 6 and Z Flip 6 [SLASHLEAKS]

[NEWS IN FOCUS]

Samsung Electronics' upcoming Galaxy Z Flip 6 and Z Fold 6 will have to prove their prowess in AI performance as well as hardware in an intensifying foldable race with Chinese competitors like Huawei, currently the top manufacturer of foldable smartphones by shipment volume.

“AI functions” and “upgraded camera specs” will be the focal point of the upcoming foldables, according to Samsung Electronics. They will launch at Galaxy Unpacked on July 10 at the Louvre Museum.

The Korean tech giant made its first foray into the form factor in 2019, and the foldable line has been smooth sailing until recently, when China's Huawei appeared with a two-track strategy of releasing both premium and the budget lines. Its market share toppled to 23 percent in the first quarter of this year, compared to 58 percent the year before, while Huawei's climbed to 35 percent from last year's 14 percent, according to Counterpoint Research data.

Players like Honor and Motorola are chipping away at its market share as well.

A leaked image shows a dual-screen real-time translation feature on Samsung's foldabls [EVAN BLASS]

AI-powered foldables

AI upgrades will be at the forefront of Samsung's latest Z series, which are expected to incorporate new features related to photography and translation into their cover displays.

Recent leaks of the Flip 6 indicate that dual-screen real-time translation will be available, leveraging both the interior and exterior displays for more natural two-way conversation that doesn't require tossing the phone back and forth.

The latest foldable series has been confirmed to support the real-time AI translation of voice calls through third-party apps like KakaoTalk and WhatsApp. Before, the function was only available in the phone's built-in call app.

"AI features tailored to the devices' folding status as well as their connectivity to other products within the brand will act as new selling points,” said Park Jin-suk, senior analyst at Counterpoint Research, referring to the new Galaxy Watch and Galaxy Ring launching at the Unpacked event.

“Considering the seasonality of global foldables market, Samsung will be able to reclaim the top spot in the latter half. I believe the Galaxy Z series will sell 30 percent more compared to the previous versions.”

In order to activate the boosted AI functionalities, Samsung has selected Qualcomm's Snapdragon 8 Gen 3 to power the entire supply of the new devices rather than opting for its in-house Exynos processors for select market supply as it did with the flagship S24 series launched early this year.

Hardware upgrades are also expected.

The Flip 6 is replacing the 12 megapixel rear camera with the 50 megapixel camera, the same spec as the S24 series, according to multiple leaks. The handset's battery will also grow from 3700mAh to 4000mAh.

The more premium Fold 6 is expected to get lighter and slimmer, supplementing what's been criticized as a pain point for the previous versions.

Influx of strong rivals The success of the Galaxy Z Flip 6 and Fold 6 is critical for Samsung because competition in foldables is destined to get fiercer in the coming months.

Chinese players are upping the ante in this form factor with Huawei at the forefront.

Huawei, after launching the premium Mate X5 last year and the more affordable Pocket 2 early this year, is gearing up to release a triple-folding phone within 2024. It disclosed a patented design in April.

If Huawei succeeds in commercializing such a device within its expected time frame, it will be the first company to reach that milestone.

Apple's foldable smartphone is also on the horizon, although there is no detailed plans revealed for it yet.

“Samsung Electronics should come up with a sustainable long-term strategy to survive in the foldable market, such as releasing a budget line, because the premium foldable smartphone market is extremely limited at the moment,” said Lee Kyu-ha, a researcher at NH Investment & Securities.

“It should also be prepared to defend its market share when its strongest rival, Apple, jumps on the foldable market in the near future.”

BY JIN EUN-SOO [jin.eunsoo@joongang.co.kr]