Galaxy Z TriFold, a three-fold phone just launched in Korea, is attracting attention not only because of its bold design but also because of Samsung's unusual business strategy.
According to Korean media, this technology company is said to be accepting selling devices below the production cost, turning Z TriFold into a technology demonstration product rather than a profit-generating tool.
The Bell newspaper, cited by 9to5Google, said that Samsung deliberately priced the Galaxy Z TriFold lower than the actual hardware and component costs.
In the domestic market, the device has a retail price of 3.59 million won (about 2,500 USD), becoming the most expensive smartphone that Samsung currently distributes. However, this price is still not enough to offset production costs due to complex hardware structure and advanced three-fold foldable screen technology.
High costs come from many factors, especially memory components and high-end components serving multi- hinge folding mechanisms. Samsung is under great pressure in the context of a global market shortage of memory, as demand from artificial intelligence applications increases sharply.
Limited RAM supply causes component prices to escalate, narrowing the profit margin even with super high-end products.
Samsung leaders admitted that this is a deliberate strategy. Speaking at the launch event, Samsung Electronics Korea Vice President Lim Sung-taek described Galaxy Z TriFold as a special version for technology pioneers, not aimed at mass sales.
He also frankly spoke about cost pressure, saying that Samsung is forced to make difficult price decisions so that products can reach consumers.
Selling a key device at a loss-making price is not unprecedented in the technology industry. Previously, many first-generation game consoles were also sold below cost, with the expectation that production improvements and revenue from the ecosystem would compensate for initial losses.
With Samsung, Galaxy Z TriFold can play the role of market testing, perfecting technology and building a leading image in the foldable screen segment.
If the above information is correct, Galaxy Z TriFold clearly reflects the large gap between the selling price to consumers and the actual cost of three-fold technology. This is also a reminder that high-level hardware innovation always comes with significant financial risks.
Galaxy Z TriFold is expected to be launched in the United States in early 2026. Although the selling price has not been announced, it is likely that this device will still be in the group of the most expensive smartphones on the market.