Samsung transforms into Apple's "exclusive component supplier": controls 56% of screen orders, secures first foldable screen order
```
Samsung is quietly restructuring its business logic. It is shifting from directly competing with Apple to becoming Apple’s core supplier of critical components.
According to data from market research firm Omdia, Samsung’s share of Apple iPhone display market has reached 56.8%, with supply volume expected to reach 142 million units in 2025, up 15% year-on-year.
At the same time, Samsung has secured an exclusive supply contract for the display of Apple’s first foldable iPhone, the iPhone Fold, with a term of three years. Amid sustained pressure on its smartphone market share, becoming Apple’s “exclusive supplier” is now a more definite source of profit for Samsung.
The market significance of this strategic shift lies in: Samsung is no longer fixated on competing with Apple for end consumers, but rather embeds its strengths into the critical links of Apple’s product chain to obtain stable and high-profit orders in return.
Exclusive foldable display supply: Three-year orders, strong bargaining power
The iPhone Fold is the most lucrative item in Samsung’s supplier strategy. Samsung has become the sole manufacturer of the device’s display, with the contract covering the next three years.
The cost of developing a crease-free folding panel is high and the manufacturing process is complex. Currently, only a few suppliers in the industry can mass produce them.
The first batch of iPhone Folds by Apple is estimated to have a shipment volume of only about 11 million units, and limited initial capacity further strengthens Samsung’s bargaining position.
Analysts point out that in the absence of alternative suppliers, Samsung has considerable pricing power over these panels, leaving Apple with virtually no choice.
MacBook Pro and iPhone 18: Expanding order landscape
Samsung’s ambition for supply extends beyond foldable screens.
In the MacBook product line, the newly designed M6 MacBook Pro series will use large-sized OLED screens provided by Samsung, which aims to achieve mass production by 2026. These displays are considered one of the key drivers for Apple to raise MacBook Pro prices in the future.
For the iPhone 18 series, as Apple is reportedly launching only “Pro” models this year, display orders will be divided between Samsung and LG, and Samsung is expected to take the majority share.
Failed direct competition, pivoting to binding Apple’s supply chain
Samsung’s position in the smartphone terminal market is not optimistic. Its global market share continues to shrink, pressure from tight DRAM supply has not eased, and Apple is reportedly considering keeping iPhone 18 series prices unchanged, further squeezing competitors’ room for maneuver.
Against this backdrop, Samsung’s strategic pivot is increasingly clear: Rather than competing head-on with Apple in the terminal market, it is better to deeply bind itself to Apple’s supply chain, building moats with technological barriers and production scale.
From iPhone displays to foldable panels, and MacBook OLED screens, Samsung is systematically making itself an irreplaceable foundational supplier in Apple’s hardware ecosystem.
For investors, the order stability and profit certainty brought by this model may be more worthy of attention than the battle for smartphone market share.
Risk Warning and DisclaimerThe market involves risks, investment should be cautious. This article does not constitute personal investment advice, nor does it take into account the specific investment objectives, financial situation, or needs of individual users. Users should consider whether any opinions, views, or conclusions in this article are suitable for their particular circumstances. Invest at your own risk. ```