Apple has unveiled its very first foldable iPhone, called the iPhone Duo, alongside a new leader to showcase this premium product.
In his inaugural keynote since stepping in for Tim Cook as CEO on September 1, John Ternus introduced the Duo, aiming to reassure investors that the company can still deliver innovative technology.
The starting price for the Duo is set at $1,999, which, while still quite high, is a bit less than market expectations suggested. Preorders will begin on October 16, with the device becoming available on October 23.
For those looking for more storage, the Duo’s top model with two terabytes is priced at an astonishing $3,199.
During the announcement at Apple’s headquarters in Cupertino, Ternus remarked that many foldable models feel like “two phones awkwardly stuck together.” In contrast, the Duo features a screen that folds out with a nearly invisible crease and has a hinge for easy opening and closing.
When closed, the Duo displays an exterior screen that covers half the device, allowing it to function like a standard iPhone. Its inner screen is claimed to be 80% larger than the iPhone 18 Pro’s display when expanded. Once folded, it’s comparable in size to a passport, according to Apple.
After the event, Apple’s stock dipped by about 2%. This announcement had been widely anticipated, likely already reflected in the stock’s price.
The launch of the Duo serves as a significant test for Ternus, who ascended to CEO after years as the hardware leader. Tim Cook, now serving as executive chairman, attended the event.
In addition to the Duo, Apple showcased the AirPods 5, which promise enhanced durability, priced at $129 for the base model and $149 for the upgraded version. The Apple Watch was also refreshed with Series 12 and Ultra 4 models.
Leading up to this presentation, Apple’s stock had already dropped over 4% in the week prior, hinting at the market’s tempered expectations despite the excitement surrounding the new foldable phone.
Mark Vena, CEO and principal analyst at SmartTech Research, suggested that if the Duo performs well, it could significantly boost Apple’s revenue potential without jeopardizing its traditional iPhone sales.
The event kicked off with an update on the iPhone 18 Pro and Pro Max, which include the new A20 computer chip along with better battery life and faster charging capabilities.
The iPhone 18 models are available in new glacier and burgundy colors, in addition to the usual options, with the Pro model priced at $1,199—a $100 increase from the previous year—and the Pro Max at $1,299.
This launch marks Apple’s most significant product introduction since its “Vision Pro” virtual reality headset in 2024, which has faced consumer indifference due to limited apps and a hefty $3,500 price point.
The announcement could potentially revitalize a smartphone lineup that, according to some critics, has become a bit stale. Tech analyst Paolo Pescatore noted that the Duo opens up new premium growth avenues and could significantly benefit the iPhone market.
Earlier this year, Apple had mentioned an industry-wide chip shortage that resulted in increased prices across its MacBook and iPad lines, which saw hikes of up to $500. The company has labeled this supply chain issue as an unprecedented challenge.
Prior to the event, analysts pointed out that Apple faced a pricing challenge with the Duo. They observed that the company had to decide between raising prices to counterbalance production costs—thus risking lower sales volume—or keeping hikes moderate but raising concerns about profit margins.
An additional hurdle for Apple relates to the ongoing AI competition, where they’ve been perceived as lagging behind others.
During the event, Apple indicated that their updated smartphone models are meant to complement its AI, dubbed Apple Intelligence.
Furthermore, Apple confirmed the long-awaited AI upgrade to its Siri voice assistant—an offshoot of Apple Intelligence—which will be starting beta testing this month before a broader rollout.
Analysts have cautioned that Siri’s performance will be crucial in restoring confidence on Wall Street concerning Apple’s AI strategy.
