Samsung Electronics will get their battery supply for the upcoming Galaxy Fold 2 and Galaxy Z Flip 5G foldable smartphones from Samsung SDI, people familiar with the matter told TheElec on Tuesday.
Previously, Samsung SDI was the supplier of batteries for Galaxy Fold and Galaxy Z Flip.
The company was making the battery cells in its factory in Tianjin, China and assembling them to modules and packs and applying protective circuit at its factory in Vietnam. Samsung SDI was the exclusive vendor for the batteries, the people said.
Galaxy Fold 2 will use 2275mAh and 2090mAh batteries. Galaxy Z Flip 5G will use 2500mAh and 704mAh batteries. The specification for the batteries are similar to the smartphones’ predecessors.
The deal is important for Samsung SDI as the company ceded some of the supply for smartphones such as Galaxy Note 10 and Galaxy S20 series to rival LG Chem.
Samsung Electronics is also using China’s ATL and BYD as battery suppliers for its Galaxy A and M series.
Samsung Electronics’ choice to use Samsung SDI again for the foldable phone is mainly due to cost. The specification for the batteries are near similar to previous foldable smartphone models so there is no need to make a new mold, which is costly.
Small-sized lithium-ion battery business remains a cash cow for Samsung SDI. The company produces small polymer batteries for smartphones and large-sized circular batteries for electric vehicles and wireless cleaners. Circular batteries contribute higher sales, but small polymer batteries are more profitable. Samsung SDI has been aiming to supply small polymer batteries for budget-model smartphones to increase sales.
Samsung Electronics is planning to unveil new mobile devices including the Galaxy Fold 2 at its Unpacked Event on August 5. It is expected that it will introduce new Galaxy Buds wireless earphones as well.