Apple’s Foldable Future: Kuo Predicts AI-Powered, Ultra-Premium iPhone Launch in 2026

Apple is poised to enter the foldable smartphone market with a bang, according to analyst Ming-Chi Kuo. In a recent report, Kuo detailed ambitious plans for Apple’s first foldable iPhone, projecting a premium, AI-driven device with a price tag exceeding USD2,000.

AI at the Forefront

Kuo envisions the foldable iPhone as a “true AI-driven phone,” capitalising on the trend of multimodal functionality and cross-app integration. The larger, foldable display will enhance the AI experience, allowing users to seamlessly interact with chatbots and other AI-powered tools while simultaneously viewing relevant information, such as maps or documents.

Premium Positioning and Hardware

Targetting the top-tier of the smartphone market, Apple’s first foldable is expected to retail between USD2,000 and USD2,500. Leveraging the iPhone’s brand prestige and loyal customer base, the company anticipates strong demand despite the high price, provided the device delivers on quality.

The foldable iPhone will feature a book-style design with an approximately 7.8-inch crease-free inner display and a 5.5-inch outer display. Notable hardware specifications include:

• Touch ID Return: A side-mounted Touch ID sensor is expected, potentially replacing Face ID due to space constraints.
• Dual-Lens Camera: A dual-lens rear camera setup and a single front-facing camera accessible in both folded and unfolded states.
• Thin Profile: Measuring 9-9.5mm when folded and 4.5-4.8mm when unfolded.
• Premium Materials: A hinge combining stainless steel and titanium alloy, and a titanium alloy casing.
• Advanced Battery: Utilising the same high-density battery cells as the ultra-thin iPhone 17.

Development Timeline and Shipment Projections

Apple’s development schedule is reportedly well underway, with final specifications expected to be locked in during the second quarter of 2025. Official project kickoff is slated for the third quarter of 2025, with mass production beginning in the fourth quarter of 2026.

Due to the complexity of the device, initial production volumes are expected to be limited. Kuo projects shipments of 3-5 million units in 2026. The second-generation foldable iPhone, expected to enter mass production in the second half of 2027, will significantly boost shipments. Kuo anticipates total foldable iPhone shipments reaching 20 million units in 2027, including both generations.