TF International Securities analyst Ming-Chi Kuo noted Apple Inc’s first foldable iPhone as a credible AI-driven smartphone.

As per the analyst, multimodal functionality and cross-app integration are the trends in AI device use cases.

He said larger screens enhance the AI experience, enabling scenarios like chatting with a chatbot about travel plans while simultaneously viewing a full map app.

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Kup expects Apple’s first-generation foldable iPhone to retail above $2,000 and $2,500. Leveraging the iPhone’s aspirational status, it will likely generate strong replacement demand despite the high price, provided the quality meets expectations.

Kuo highlighted that Touch ID returns as a side button, as Face ID may be absent due to thickness and internal space constraints.

According to the analyst, Apple ( AAPL ) will finalize specifications in the second quarter of 2025, with the official project kickoff in the third quarter of 2025 and mass production slated for the fourth quarter of 2026.

The second-generation foldable iPhone will likely begin mass production in the second half of 2027.

Kuo expects the complexity of the first-generation foldable iPhone to restrict volume production until 2027.

Shipments will likely be at 3–5 million units for 2026.

According to the analyst, with the second-generation model included, total foldable iPhone shipments could reach 20 million units in 2027.

In February 2025, China’s Oppo unveiled the AI-powered foldable Find N5 for 2,499 Singapore dollars ($1,867.70). Huawei Technologies Co launched the Mate XT trifold phone on September 20, 2024, for $2,800.

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