According to Omdia, Samsung Electronics is using its expanded premium Galaxy portfolio to execute a long-term strategy that extends beyond flagship smartphones toward a connected AI ecosystem spanning foldable smartphones, smartwatches, digital health, intelligent eyewear and future extended reality (XR) devices.
The latest Omdia blog indicated that the Galaxy Unpacked 2026 event in London on July 22 focused less on radical hardware innovation and more on strengthening Samsung’s premium ecosystem, where higher average selling prices (ASPs), AI services, software subscriptions and accessories deliver stronger long-term profitability.
Omdia the company’s premium ecosystem strategy is designed to drive higher-margin hardware sales, recurring software revenue and stronger customer loyalty as competition intensifies across the premium device market.
The strategy comes as the global smartphone industry faces headwinds. IDC forecasts the worldwide smartphone market will decline by 14 percent in 2026 due to rising memory prices and increasing component costs. However, foldable smartphone shipments are expected to grow by approximately 20 percent, making foldables one of the fastest-growing premium segments. Counterpoint Research is even more optimistic, projecting 21 percent year-over-year growth in the foldable market during 2026 while expecting Samsung to retain its leadership despite rising competition.
Samsung introduced three new foldable smartphones: the Galaxy Z Fold 8 Ultra, Galaxy Z Fold 8 and Galaxy Z Flip 8. For the first time, the company added an “Ultra” model to its foldable lineup, aligning the branding with its Galaxy S flagship series. The Galaxy Z Fold 8 starts at US$1,899, while the Galaxy Z Fold 8 Ultra begins at US$2,099.
The Fold 8 Ultra features a 200-megapixel primary camera, Snapdragon 8 Elite Gen 5 processor, up to 16 GB RAM, up to 1 TB storage, a 5,000 mAh battery, an ultra-thin 4.1 mm unfolded profile, Samsung’s Flex Titanium display technology and an anti-reflective display coating. The Galaxy Z Fold 8 offers a 50-megapixel main camera, 4,800 mAh battery, approximately 201 grams weight and a wider cover display optimized for multimedia. Meanwhile, the Galaxy Z Flip 8 brings a larger FlexWindow display, Exynos 2600 processor, improved Galaxy AI features and a 4,300 mAh battery while becoming Samsung’s thinnest and lightest Flip smartphone.
Samsung has also adopted silicon-carbon battery technology across its foldable portfolio, enabling higher energy density, increased battery capacity, 45W fast charging and improved battery longevity without increasing device thickness.
Omdia believes Samsung is treating foldables as mainstream premium devices rather than experimental products. The research firm notes that Samsung’s foldable smartphones generate an ASP 3.5 times higher than conventional bar-shaped smartphones, while also driving recurring revenue through Galaxy AI, cloud services, Samsung Care+, Galaxy Buds, Galaxy Watch and Galaxy Ring.
The premium strategy has already produced measurable results. Samsung shipped 3.6 million book-style foldable smartphones in 2025, marking its highest annual volume for the category. The Galaxy Z Fold 7 became Samsung’s best-selling book-style foldable, while the Galaxy Z Flip 7 recorded its weakest performance in five years, reflecting changing consumer preferences toward larger productivity-focused foldables.
Samsung is also preparing for intensifying competition from Apple, Google, Honor and Motorola. Omdia believes the passport-style design of the Galaxy Z Fold 8 closely resembles the widely rumored foldable iPhone. If Apple enters the segment, Samsung could benefit from broader consumer awareness while offering a more comprehensive portfolio that includes the Fold 8 Ultra for productivity users, Fold 8 for media consumption and portability, and Flip 8 for compact premium smartphone buyers.
Beyond smartphones, Samsung expanded its wearable strategy with the Galaxy Watch Ultra 2 and Galaxy Watch 9. Both smartwatches are powered by Qualcomm’s Snapdragon Wear Elite platform and introduce AI-powered health capabilities including personalized sleep guidance, recovery monitoring, cardiovascular tracking, Heart Health Score, Daily Cardio Load and AI-generated wellness insights.
The Galaxy Watch Ultra 2 targets premium outdoor users with an 800 mAh battery, up to 60 hours of battery life, 5,000 nits peak brightness and support for trail running, hiking and diving. Samsung has priced the smartwatch from US$699. The Galaxy Watch 9 focuses on mainstream premium users seeking AI-powered health monitoring and seamless integration with the Galaxy ecosystem. Samsung is also bundling trial subscriptions to Strava and iFIT to strengthen its digital health platform.
Samsung’s premium wearable strategy is gaining traction. Omdia reports the company shipped 18.2 million wearable devices in 2025, representing 16.8 percent growth, outperforming the overall smartwatch market, which expanded by only 6 percent. Smartwatch ASP also increased 8.5 percent to US$368, reflecting stronger demand for premium models.
Another highlight of Galaxy Unpacked was Samsung’s most detailed preview yet of its AI-powered smart glasses. Developed with Google, Qualcomm, Gentle Monster and Warby Parker, the intelligent eyewear is built on Google’s Android XR platform and powered by Gemini AI and Qualcomm’s Snapdragon AR1 Gen 1 processor. The glasses support message summaries, live translation, navigation, contextual search, voice interaction, note capture and visual understanding through an integrated camera.
Samsung claims the glasses deliver up to 9 hours of battery life, while the charging case provides 7 additional full charges. Privacy features include visible LED recording indicators that automatically stop recording if tampered with or when the glasses are removed.
Unlike earlier smart glasses, Samsung is emphasizing both technology and fashion through partnerships with Gentle Monster and Warby Parker. Google has confirmed that audio-first Android XR smart glasses will launch in the fall of 2026, with display-equipped versions arriving later as the platform matures.
Samsung faces stiff competition from Meta in AI eyewear. According to Omdia, Meta accounted for 85 percent of global AI glasses shipments in 2025, benefiting from its partnership with EssilorLuxottica and Ray-Ban. However, Omdia forecasts global AI glasses shipments will reach 15.1 million units in 2026, creating significant growth opportunities for Samsung’s Galaxy ecosystem.
Omdia concludes that Samsung’s long-term objective extends beyond premium smartphones. By integrating Galaxy AI, Google Gemini, foldable devices, wearables, Samsung Health and future XR products into a unified platform, Samsung aims to generate higher recurring software and services revenue while strengthening customer loyalty. With foldables delivering 3.5 times higher ASPs, 3.6 million book-style foldables shipped in 2025, wearable shipments reaching 18.2 million, smartwatch ASP rising to US$368, and AI glasses forecast to reach 15.1 million units in 2026, Samsung is positioning its AI-powered Galaxy ecosystem as its primary growth engine for the next phase of the premium consumer technology market.
FASNA SHABEER
