Huawei’s ascent to the leading position can be attributed to its strategic focus on integrating 5G technology into its foldable devices. This emphasis on 5G has led to an impressive 257% year-on-year growth for Huawei in Q1 2024. A significant transformation occurred within Huawei’s foldable portfolio, with 5G-enabled devices accounting for a staggering 84% of the brand’s total foldable shipments, compared to a year ago when its offerings were exclusively LTE-based.
Key to Huawei’s success has been the popularity of its 5G foldable models in the Chinese market. The Mate X5, Huawei’s inaugural 5G book-type foldable released in September the previous year, has consistently been among the bestsellers in China’s foldable segment for three consecutive quarters. Additionally, the recent launch of the Pocket 2, Huawei’s first 5G clamshell model in April 2024, has further bolstered its shipments in Q1. Despite encountering challenges in securing supplies for its self-developed 5G SoC (System on Chip), Huawei remains committed to prioritizing foldables due to their premium positioning in the market.
While Huawei has focused predominantly on the Chinese market, other players like HONOR and Motorola have witnessed substantial growth in overseas markets. HONOR’s global foldable market share surged from 3% to 12% over the past year, driven by significant shipment increases outside China. The HONOR Magic V2, particularly popular in Western Europe, emerged as the most shipped foldable phone in the region in Q1 2024. Similarly, Motorola’s global market share increased to 11%, with its Razr 40 (aka Razr 2023) gaining traction as a top model in North America.
In terms of form factor, book-type foldables dominated the global market in Q1 2024, accounting for 55% of total shipments, surpassing clamshell-type devices for the first time since 2021. This shift can be attributed to the consistent launch of new book-type products by Chinese OEMs, including Huawei, HONOR, OnePlus, and vivo, since the latter half of the previous year. Conversely, Samsung’s clamshell segment, which has historically enjoyed popularity due to its accessible pricing, experienced a slowdown in growth, leading to a reversal in popularity between the two form factors this quarter.
Despite the rise of book-type foldables, expectations remain high for the clamshell market’s growth potential in the coming year. Anticipated product launches, such as Samsung’s Z Flip 6 and Huawei’s plans to introduce lower-priced clamshell models, are poised to reinvigorate competition in the clamshell segment. Furthermore, newcomers like HONOR and Xiaomi are gearing up to enter the clamshell market, promising to intensify market dynamics and fuel further growth.
Counterpoint Technology Market Research, with its expertise in the TMT industry, provides invaluable insights into the global foldable smartphone market, enabling technology and financial firms to make informed decisions and strategies in this dynamic landscape.
