Honor, a Chinese technology firm, is set to break into the vertical-folding smartphone market with the launch of a foldable flip phone. This move is part of Honor’s strategy to challenge major players like Samsung and Apple in the premium segment of the market. The CEO of Honor, George Zhao, recently revealed this development in an exclusive interview at the Mobile World Congress in Barcelona.
While Honor already has several foldable phones on the market, all of them are of the book style folding device. The upcoming flip foldable phone will expose Honor to a different price point, making it more competitive against brands like Samsung. The company’s latest offering, the Honor Magic V2, has been well-received, but the flip style has its own advantages in terms of pricing and form factor.
Foldable smartphones are considered high-end devices in the smartphone market. Sales for premium smartphones, especially those priced over $600, have been on the rise, while the overall market has experienced a decline. Counterpoint Research predicts a 40% year-on-year increase in foldable phone sales, reaching 22 million units by 2024. However, there may be a slowdown in demand for flip foldables due to pricing expectations.
Neil Shah, a partner at Counterpoint Research, believes that the slowdown in demand for flip foldables could create an opportunity for new vendors to enter the market and test out consumer preferences. This could potentially change the landscape of the foldable phone market and allow for more competition and innovation.
Honor, a spin-off from Huawei in 2020, has been focused on expanding its presence in international markets. Although the brand has seen success in China, it aims to become a top player globally within the next few years. At events like the Mobile World Congress, Honor has highlighted the importance of artificial intelligence (AI) in improving user interactions with devices.
According to George Zhao, the future of Honor’s strategy lies in AI technologies that can anticipate user needs and preferences. By leveraging AI, devices can become more intuitive and user-friendly, making tasks like responding to messages or finding directions more seamless. Honor showcased an AI-powered feature on its Magic 6 Pro handset that can track user eye movements, as well as a chatbot demonstration built on Meta’s Llama 2 AI model.
In a bid to further establish itself as an independent brand, Honor announced its intention to go public last year. While preparations are underway for an initial public offering, no final timing or destination for the listing has been confirmed. Honor’s CEO remains optimistic about the brand’s future growth and aims to achieve greater sales volumes overseas in the coming years.
Honor’s foray into the foldable flip phone market marks a significant step in its quest to compete with established smartphone brands. With a focus on innovation, international expansion, and AI-driven technologies, Honor is positioning itself as a key player in the evolving world of smartphones.
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