Three months in, Samsung may discontinue its $3,000 tri-fold phone
What's the story
Samsung is reportedly planning to end sales of its innovative Galaxy Z TriFold smartphone. The device was launched in South Korea just four months ago, ahead of a wider release in the US and other markets in January. The $2,899 phone introduced a new form factor to the foldable market but appears to be short-lived.
Market performance
Galaxy Z TriFold sold out within minutes at launch
The Galaxy Z TriFold sold out within minutes when it first went on sale, with the same happening at each restock. This was largely due to limited inventory, with the first two batches reportedly consisting of just 3,000 units each. High production costs and an ongoing RAM/storage shortage have made it difficult for Samsung to turn a profit on this device.
Sales strategy
Last restock planned in South Korea this week
Samsung always intended the Galaxy Z TriFold to be a limited release, not targeting mass-market sales. The company is said to be planning one last restock in South Korea this week before ending sales in its home market. In other markets where the phone is available, like the US, UAE, Singapore and China, Samsung may continue selling remaining units but there's no guarantee that sales will continue there either.
Cost challenges
Component costs and production challenges
Rising component costs have become a major hurdle for Samsung and other Android manufacturers. Despite the premium price tag of the Galaxy Z TriFold, Samsung may not be making significant profits from it. The high production costs are also putting more pressure on the company's Mobile eXperience (MX) division, which has been struggling lately.
Market outlook
Samsung's foldable future
The discontinuation of the Galaxy Z TriFold doesn't mean Samsung is giving up on foldables entirely. The company is expected to launch new models this year, including a rumored wide foldable that could rival Apple's upcoming offering. Despite its challenges with the Galaxy Z TriFold, Samsung's other foldable devices like the Galaxy Z Fold 7 and Z Flip 7 continue to do well in the market.