Back in 2014, Apple and Samsung were fierce competitors in the U.S. smartphone market. Samsung had gained traction with its large-screen devices, prompting iPhone loyalists to demand something similar. Apple’s answer was the iPhone 6, its first large-display model, which helped the company regain momentum and establish long-term dominance.
Fast forward more than a decade, and the rivalry has returned with fresh intensity. This time, the fight isn’t about screen size alone — it’s about reimagining the smartphone altogether, with foldables leading the charge.
Market Share Shake-Up
New shipment figures suggest the landscape is shifting. Research from Canalys shows Samsung’s U.S. market share jumped from 23% to 31% in the second quarter of 2025. Apple, still the overall leader, slipped from 56% to 49%.
For Apple, the decline marks one of the few instances of turbulence after more than ten years of near-total control in the U.S. Investors have taken note. Apple’s stock has dropped 7.5% so far this year, underperforming other megacap tech firms except Tesla. By contrast, Samsung’s shares have soared around 35% in 2025.
Even with these pressures, Apple reported a 13% year-over-year increase in iPhone sales in its July earnings, highlighting the resilience of its brand.
Samsung’s Foldable Gamble
Samsung is betting heavily on design innovation to maintain its momentum. In July, it unveiled two new foldable models:
- Galaxy Z Fold 7, which expands into a tablet-like display
- Galaxy Z Flip, a modern take on the classic flip phone
These devices joined the Galaxy S25 Edge, a slim, lightweight phone released earlier in the year.
The buzz has been strong, especially on social media. A livestream durability test where a user bent the Z Fold 7 more than 200,000 times went viral, with clipped versions attracting millions of YouTube views. According to Sprout Social, Samsung’s premium phones were mentioned over 50,000 times in the past month, with the majority of mentions being neutral or positive.
Why Pricing Matters
Samsung’s appeal lies not just in innovation but also in accessibility. Its Galaxy and Z lineups range from $650 to $2,400, covering nearly every market segment. This wide spread gives Samsung the ability to attract entry-level buyers as well as those chasing cutting-edge technology.
Apple’s lineup, by comparison, is narrower, priced between $829 and $1,599. While the iPhone remains one of the world’s most recognizable products, its design has largely stayed the same since 2017, giving competitors room to experiment with form factors and features.
Apple Prepares Its Response
Apple isn’t standing still. Analysts expect the company to introduce a slimmer iPhone model as early as next month, a move aimed at countering Samsung’s Galaxy Edge. Reports from Loop Capital suggest that Apple’s upcoming 5.5mm-thin “Air” model has generated strong interest in consumer testing.
Looking further ahead, Apple may be preparing its own foldable. JPMorgan Chase analyst Samik Chatterjee forecasts that a folding iPhone could launch in fall 2026 as part of the iPhone 18 lineup, potentially starting at $1,999 — the same ballpark as Samsung’s foldable devices.
Premium Devices, Premium Prices
Pricing underscores the different approaches. Apple’s iPhone 16 Pro Max starts at $1,199 for 256GB of storage and maxes out at $1,599 for 1TB. Samsung’s Galaxy Z Fold 7 starts at $1,999 and stretches to $2,419 for its 1TB variant.
If Apple introduces a foldable, analysts believe it would help the company command higher prices while appealing to buyers eager for novelty and exclusivity.
Samsung Overcomes Early Stumbles
Samsung’s foldable journey hasn’t been smooth. Its first foldable, launched in 2019, was plagued with issues — devices broke at the crease during reviews, forcing a delayed rollout. But the company has steadily improved the technology, and the Z Fold 7 is being positioned as the breakthrough moment.
Samsung says the device secured 25% more preorders than any previous foldable and is outselling its predecessor by nearly 50%. Counterpoint Research also reported a 16% increase in Samsung’s U.S. sales last quarter, helped by strong demand for high-end models like the S25 Edge.
AI as a Differentiator
Artificial intelligence is also shaping the competition. Samsung phones have integrated access to Google’s Gemini AI, which is considered among the best models available. Features like circle-to-search, where users can highlight parts of the screen to get instant information, are tailored for larger foldable displays.
Apple, by contrast, has faced delays in its AI rollout. Its next-generation Siri and Apple Intelligence tools won’t debut until 2026. While this raises concerns among investors, many analysts argue Apple’s ecosystem and loyal user base provide a buffer, giving the company time to catch up.
Apple has built its reputation on waiting until technologies are mature before introducing them at scale. The strategy worked when it entered the large-screen market late but ultimately overtook Samsung in 2014. Analysts believe the same cautious approach could define its foldable and AI roadmap.
If Apple times its entry correctly, it could once again shift the balance of power in the smartphone market.
