Guo Mingchi: In order to compete with Apple's folding iPhone, it is expected that Samsung will also use a display panel made with laser drilling at a higher unit price.

Guo Mingxi, an analyst at Tianfeng International, stated that Fine M-Tec announced on July 17th that the company will invest approximately 17.5 billion Korean won to expand its folding machine market and increase its precision laser production capacity. The investment period will be from July 17, 2025 to January 20, 2027. Key points: 1. This announcement aligns with my previous forecast that the metal plate of the folding iPhone's display will adopt laser drilling technology for production due to Apple's higher requirements for fold-free displays. Samsung is expected to release a new folding machine, Galaxy Z Fold 8, in 2H26 to compete with the folding iPhone, and will also use higher-priced laser drilling technology for the display's metal plate, with Fine M-Tec being the exclusive supplier. Therefore, this investment is also to meet the demand for Samsung phones, which means that Fine M-Tec's metal plate ASP/profit for Samsung will significantly increase in 2026. Fine M-Tec's investment for the folding iPhone is not yet over, and it is expected that there will be new investment announcements in the future.