Apple’s release of its foldable smartphone, the iPhone Duo, was both anticipated and surprising.

In all honesty, this device reflects the influence of foldable smartphones from Huawei, Samsung, and other competitors. Apple has openly acknowledged drawing inspiration from its rivals, effectively admitting that the iPhone Duo is a product inspired by market trends.

Yet, this hasn’t dampened its popularity. After all, with a price tag of 14,999 yuan, it’s not as steep as some might expect—comparable to high-end Android foldable smartphones. But it’s an Apple product, which always carries a certain cachet.

As a result, Counterpoint Research forecasts that by 2026, Apple could secure 25% of the global foldable smartphone market share with the iPhone Duo, potentially overtaking Huawei to become the second-largest player worldwide, trailing only Samsung.

Of course, this is merely a projection. Many consider it overly optimistic, arguing that Apple is unlikely to achieve a 25% market share or surpass Huawei this year, given that the iPhone Duo has only about two months of sales under its belt. How could it possibly reach such a figure so quickly?

However, while the iPhone Duo’s popularity is widely recognized, few are aware that a Chinese company is actually pivotal to its success.

That company is LY Technology. Within the iPhone Duo’s supply chain, LY Technology supplies critical precision components, including hinge structural parts, screen support plates, ultra-thin vapor chambers, and flanged ultra-thin stainless steel battery casing modules.

These components are among the most vital for foldable smartphones, second only to the chip and screen, representing the most challenging aspects of foldable smartphone manufacturing. And yet, they are dominated by LY Technology.

Industry estimates suggest that LY Technology commands roughly 60% of the market share for hinge components and is the sole supplier of the screen support layer.

For Apple, the mantra has always been that the most advanced technology secures the contracts. This implies that LY Technology’s expertise in this field is unparalleled, which is why these components are entrusted to LY rather than other established Apple supply chain giants like Luxshare, Foxconn, or Lens.

In fact, LY Technology’s collaboration with Apple dates back to 2008, nearly two decades ago. However, it has maintained a relatively low profile compared to renowned names like Lens, Foxconn, Luxshare, and BYD.

Nevertheless, LY Technology’s cooperation with Apple spans thousands of modules and components across the entire range of iPhone, iPad, Mac, Apple Watch, and AirPods products. Its entry into the foldable smartphone supply chain this time can be viewed as a natural evolution.

According to institutional estimates, for each iPhone Duo foldable smartphone, LY Technology’s components add a value of $80 to $100. Annually, this could translate into revenue of four to five billion yuan for LY Technology—a substantial figure.

More significantly, once Apple incorporates its components, it signifies recognition of LY Technology’s capabilities. These precision component expertise can then be leveraged across more product categories and clients, representing LY Technology’s promising future.