Key Points:
- Fine MTech seeks to become a key supplier of Samsung’s foldable phone hinges, aiming to increase its market share from 0.1% to 10%.
- Samsung has approved Fine MTech as a backup supplier, though their involvement with the Galaxy Z Flip 6 remains uncertain.
- Fine MTech’s ambition is bolstered by a significant investment and ongoing supply of metal plates to Samsung.
As Samsung gears up for its forthcoming Galaxy Unpacked event, a new player, Fine MTech, is vying for a spot in the tech giant’s foldable phone hinge supply chain. Established in 2022 as a spin-off of Fine Technics, Fine MTech has already invested 30 billion won ($22 million) to position itself as a leading hinge supplier. The company currently provides Samsung with metal plates, integral to the structure of foldable phones and their hinges. However, Fine MTech’s aspirations extend far beyond its current role.
In 2023, Fine MTech held a meager 0.1% of the global foldable hinge market. The firm is now striving to expand this share to 10%, targeting significant growth and a deeper partnership with Samsung. Recently, Samsung designated Fine MTech as a backup supplier for its foldable phone hinges. This strategic move allows Fine MTech to step in if existing suppliers encounter issues, thereby preventing potential supply shortages for Samsung.
Despite this promising development, Fine MTech has not yet secured approval to supply hinges for the highly anticipated Galaxy Z Flip 6. The ambiguity surrounding this approval leaves open the possibility that Fine MTech might yet be involved later this year. The company has expressed optimism, stating that significant sales growth is expected to commence in 2024.
Meanwhile, Samsung is preparing to launch the Galaxy Z Fold 6 and Galaxy Z Flip 6 this summer, with potential Slim versions slated for early next year. These models may necessitate advanced hinge designs, offering Fine MTech a further opportunity to cement its place within Samsung’s supply chain.
