Samsung is making significant inroads in the US Market Share of smartphone market as foldable devices gain traction, putting pressure on Apple’s long-standing dominance. New shipment data and consumer interest in Samsung’s Galaxy Z Fold 7 suggest that foldables may be shifting the competitive balance in the industry.
Market Share Shift in Second Quarter
According to Canalys, Samsung’s market share in the US Market Share jumped from 23% to 31% in the second quarter, while Apple’s fell from 56% to 49%. Although Apple remains the top seller of smartphones in the United States, the numbers reflect its most notable setback in more than a decade.
Analysts point to multiple factors behind the shift. Tariffs on imported electronics have created disruption, prompting companies to adjust shipment strategies. At the same time, Samsung’s broad product lineup, ranging from entry-level devices to premium foldables priced above $2,000, has allowed the company to capture customers at nearly every price point.
“Samsung with the foldable is able to actually optimize for innovation,” said Runar Bjorhovde, analyst at Canalys. “There is an idea that you can target people at every single price point, and you can meet them at every spot.”
Samsung’s stock has surged about 35% in 2025, reflecting investor optimism. In contrast, Apple’s shares have dropped 7.5% this year, underperforming most other US Market Share. megacap technology companies.
Foldables Gain Momentum
The release of the Galaxy Z Fold 7 and Z Flip this July has fueled much of its momentum. The Z Fold 7 unfolds into a tablet-sized screen, while the Z Flip resembles a modernized flip phone. Samsung also launched the slimmer Galaxy S25 Edge earlier this year, expanding its premium options.
Durability, once a concern for foldable phones, appears less of an issue in 2025. Videos demonstrating the Z Fold 7 surviving over 200,000 bends have gone viral, with one clip surpassing 15 million views on YouTube. Social media mentions of Samsung’s premium devices topped 50,000 in the past month, with over 80% categorized as positive or neutral, according to Sprout Social.
Preorders for the Z Fold 7 exceeded those of its predecessor by 25%, and early sales are nearly 50% higher, It said. “There really are no longer trade-offs towards owning a foldable device,” said Drew Blackard, vice president of mobile product management at Samsung Electronics America.
Apple Faces Pressure but Plays the Long Game
Apple continues to generate strong iPhone sales up 13% year over year in July earnings, but the company is facing growing pressure to diversify beyond its traditional slate-style design. The iPhone has maintained a relatively consistent look since 2017, while Samsung and other competitors experiment with new form factors.
Analysts expect Apple to respond soon. A slimmer iPhone model, informally referred to as the “Air,” is rumored for release next month. More significantly, Apple could debut its first foldable device in 2026 as part of the iPhone 18 lineup, according to JPMorgan Chase analyst Samik Chatterjee.
Apple’s cautious approach is deliberate, said Chatterjee. “Apple has never been about trying to be the first to market. It’s about being watchful, seeing a technology mature, knowing that there are no big roadblocks to adoption, and then moving ahead.”
The Role of AI and Future Competition
Artificial intelligence is also shaping the future of smartphones. Samsung devices, powered by Google’s Gemini, already integrate AI features such as circle-to-search, which is particularly effective on larger foldable displays. Apple, meanwhile, has delayed its next-generation Siri rollout until next year, raising concerns among investors about its pace in AI development.
Despite those worries, Apple retains strong brand loyalty and ecosystem lock-in, which many analysts believe will protect its sales for several years. Still, the rise of foldables represents the first serious challenge to the iPhone’s dominance since large screens transformed the US Market Share a decade ago.
“Samsung is showing that innovation in form factor can create a halo effect,” said Bjorhovde. “Apple will likely enter when it’s convinced the time is right, but the momentum is currently with foldables.”
