Foxconn to Lead Foldable iPhone Hinge Production as Costs Drop Sharply, Says Ming-Chi Kuo

Apple’s long-rumored foldable iPhone is moving closer to production, and new supply chain details suggest its hinge component will be significantly cheaper than expected, according to a report from noted analyst Ming-Chi Kuo. The shift appears to be driven by Foxconn’s deeper involvement in the component’s design and manufacturing.

Lower Hinge Costs Driven by Foxconn Partnership

Kuo’s latest forecast estimates the average selling price (ASP) of the hinge will range between $70 and $80 when mass production begins — well below earlier market expectations of $100 to $120. Rather than reflecting a downgrade in materials, Kuo attributes the reduction to Foxconn’s entry into hinge manufacturing and improvements in assembly efficiency.

According to the report, Foxconn has established a joint venture with Shin Zu Shing (SZS) to produce the hinge, securing roughly 65% of initial orders. The remaining 35% will reportedly go to Amphenol, another key Apple supplier.

By producing the hinge directly, Foxconn is expected to tighten its vertical integration with iPhone assembly, allowing for greater cost control and production flexibility. This move also signals a strategic effort to reduce reliance on third-party mechanical suppliers for future Apple hardware.

Foldable iPhone Expected in 2026

The foldable iPhone remains central to Apple’s upcoming three-year product overhaul, with mass production still targeted for late 2026. Previous reports indicate that Apple is testing a metallic glass hinge design for improved durability and a side-button Touch ID system to complement its foldable form factor.

Kuo’s update aligns with recent industry signals suggesting Apple is accelerating its hardware roadmap in tandem with its expanding artificial intelligence initiatives. The company is reportedly focusing on integrating AI-driven user experiences across its next generation of devices, including the foldable lineup.

Supplier Outlook Beyond 2026

Kuo also notes that Luxshare-ICT could enter the hinge supply chain after 2027, potentially joining or competing with Foxconn and Amphenol. Meanwhile, Amphenol’s smaller order share in the initial phase may be a strategic decision, as the supplier weighs investment returns against other opportunities within Apple’s ecosystem.

A Step Toward Vertical Integration

If accurate, the move marks one of the most significant shifts in Apple’s manufacturing strategy in years. By bringing more mechanical design and production under Foxconn’s control, Apple could not only cut costs but also streamline the foldable iPhone’s development, ensuring consistency and faster scaling once production begins.

With Foxconn’s joint venture now established and component costs trending downward, the path toward Apple’s first foldable device appears to be taking clearer shape ahead of its expected 2026 debut.