South Korea Mobile Devices Market Report 2025
Executive Summary
The South Korean mobile devices market in 2025 represents one of the world's most advanced and sophisticated technology ecosystems. With a projected smartphone market value of $8.65 billion and an expected annual growth rate of 1.22% through 2030, South Korea continues to lead globally in mobile technology adoption, particularly in 5G infrastructure and AI-integrated devices. The market is characterized by Samsung's overwhelming domestic dominance, premium product preferences, rapid foldable phone adoption, and the world's highest 5G penetration rate at 97.4%.
Market Size and Growth Projections
Overall Market Value
The South Korean smartphone market demonstrates robust growth across multiple projections:
| Metric | 2025 Value | Growth Rate | 2030 Projection | Source |
|---|
| Market Revenue | $8.65 billion | 1.22% CAGR | $9.19 billion | Statista |
| Alternative Projection | - | 5.4% CAGR | $14.67 billion | Grand View Research |
| Android Mobile Market | - | 8.40% CAGR | $17.47 billion (2034) | Market Research |
| Overall Smartphone Market | - | 8.1% CAGR | $21.09 billion (2032) | Research and Markets |
Quarterly Shipment Performance
The market showed strong momentum throughout 2025:
- Q2 2025: 3.32 million units shipped (+10.9% YoY)
- Q3 2025: 3.74 million units shipped (+19.7% YoY)
- 2030 Forecast: 19.74 million units annually
The Q3 growth was particularly notable, driven by stable economic conditions, increased consumer sentiment, and active marketing by mobile carriers following the abolition of the Mobile Device Distribution Act.
Competitive Landscape
Market Share Dynamics
Samsung maintains an iron grip on its home market, though Apple's position strengthened throughout 2025:
| Quarter | Samsung | Apple | Others |
|---|
| Q1 2025 | 78% | 22% | 0% |
| Q2 2025 | 84% | 16% | 1% |
| Q3 2025 | 81% | 18% | 0% |
Key Competitive Observations:
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Samsung's Dominance: The Korean giant held over
80% market share consistently throughout 2025, reaching its peak of 84% in Q2. This extraordinary home-market advantage is driven by strong performance of the Galaxy S25 series, successful foldable devices (Galaxy Z Fold 7 and Z Flip 7), and continued demand for mid-range models like the Galaxy A36
Counterpoint Research Korea.
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Apple's Challenge: While holding a much smaller share, Apple showed resilience with the iPhone 17 series launch in September 2025. The company gained 2 percentage points from Q2 to Q3, and analysts predicted the gap would narrow further in Q4 as iPhone 17 sales fully materialized
Chosun Business.
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Global Context: Interestingly, while Samsung dominates domestically, global trends showed Apple surpassing Samsung in worldwide smartphone shipments for the first time in 14 years, with Apple shipping around 243 million units (19.4% global share) versus Samsung's 235 million units (18.7% global share)
Hankyung.
Best-Selling Models by Period
March 2025:
- Samsung Galaxy S25 Ultra (21%)
- Samsung Galaxy S25 (15%)
- Samsung Galaxy S25 Plus (10%)
- Samsung Galaxy A16 4G (6%)
- Apple iPhone 16 Pro Max (5%)
June 2025:
- Samsung Galaxy S25 Ultra (11%)
- Samsung Galaxy S25 (11%)
- Samsung Galaxy A16 4G (7%)
- Samsung Galaxy A36 (7%)
- Samsung Galaxy A15 4G (5%)
September 2025:
- Samsung Galaxy Z Flip 7 (17%)
- Samsung Galaxy Z Fold 7 (9%)
- Apple iPhone 17 Pro Max (8%)
- Apple iPhone 17 (8%)
- Apple iPhone 17 Pro (7%)
This progression illustrates the market's shift from flagship launches in early 2025 to foldable dominance by September, showcasing consumer appetite for innovative form factors
Counterpoint Research.
Technology Trends Shaping 2025
5G Infrastructure Leadership
South Korea maintains its position as the world's 5G leader with remarkable penetration rates:
- 5G Connections: 66% of all mobile connections in 2025Eastspring
- 5G Smartphone Penetration: Reached an all-time high of 97.4% in Q3 2025Digital Economy News
- 5G Devices Market: Projected to reach $73.75 billion by 2030 (35.9% CAGR)Grand View Research
The country is also preparing for
5G-Advanced (5.5G) commercialization in 2025, promising speeds over 10Gbps, ultra-low latency under 1ms, and enabling revolutionary applications in 4K/8K streaming, autonomous vehicles, remote healthcare, metaverse/XR content, and smart factories
Sisa Economic News.
AI Integration Acceleration
Artificial Intelligence has become the defining feature of premium smartphones in 2025:
Samsung's AI Strategy:
- Rolled out Gemini-backed AI features to approximately 400 million mobile products by 2025
- Plans to double this to 800 million devices in 2026The Straits Times
- Aims to apply AI across all new Galaxy smartphones, Wi-Fi connected appliances, and 4K+ TVs
On-Device AI Capabilities:
- Camera correction and enhancement
- Real-time translation
- Voice assistants
- Automation and productivity features
- Internet-independent AI processing
The widespread integration of AI has made on-device AI a key competitive factor, with consumers increasingly prioritizing these features in purchasing decisions
Invest Korea.
Premium and Foldable Device Growth
Premium Segment Dominance:
- Flagship products priced over $800 accounted for 74.0% of market share in Q3 2025Digital Economy News
- Strong performance driven by enhanced chipsets and GenAI features in Galaxy S25 series
Foldable Phone Market:
- Q3 2025 shipments: 1.16 million units (double-digit YoY growth)
- Samsung Galaxy Z Fold 7 captured 64% of global foldable smartphone shipmentsChosun English
- Global foldable market projected to reach 20.3 million units in 2025 (+24.7% YoY)Counterpoint Research
The anticipated entry of Apple's "iPhone Fold" in 2025-2026 is expected to be a major market catalyst, potentially capturing
22% of global foldable market share and
34% of revenue shareNewsis.
Wearable Devices Market
The wearable technology sector represents a significant growth opportunity alongside smartphones:
Market Size and Projections
| Segment | 2024/2025 Value | Growth Rate | Future Projection |
|---|
| Overall Wearables | $1.3 billion (2024) | 17.55% CAGR | $7.7 billion by 2035 |
| Smartwatches | $425 million (2025) | 5.39% CAGR | $544 million by 2030 |
| Smartwatches (Alt.) | $1,014 million (2024) | 16.97% CAGR | $4,156 million by 2033 |
Domestic Performance
- H1 2025 Shipments: 4.26 million units (-6.2% YoY)
- 2025 Forecast: 15.15 million units
- Five-Year Growth: 3.5% average annual growth
The domestic market slowdown contrasts with strong global growth, suggesting economic uncertainties and shifting consumer priorities in South Korea. However, the long-term outlook remains positive driven by health consciousness, technological innovation, and seamless smartphone integration
Spherical Insights.
Key Features Driving Adoption
- Advanced health monitoring (ECG, blood oxygen, blood glucose, sleep analysis)
- Enhanced battery life
- LTE and Bluetooth connectivity
- Smart home integration
- Fitness tracking and coaching
- Fashion and aesthetic appeal
International Trade Performance
South Korea's mobile device trade showed strong performance in 2025, reinforcing its position as a global electronics powerhouse:
Export Performance
| Period | Category | Value | YoY Change |
|---|
| H1 2025 | ICT Exports | $115.2 billion | +5.8% |
| H1 2025 | Mobile Phones | - | +9.1% |
| November 2025 | ICT Exports | $25.9 billion | +24.3% |
| November 2025 | Smartphones | $407 million | +2.76% MoM |
Key Export Markets for Smartphones (November 2025):
- United States: $133 million
- Hong Kong: $70.1 million
- Germany: $37.5 million
- Canada: $32.2 million
- Austria: $28.2 million
Import Dynamics
- H1 2025 ICT Imports: $70.9 billion (+5.0% YoY)
- November 2025 Smartphone Imports: $555 million (+10.6% MoM)
- Trade Balance (November 2025): -$148 million for smartphones
Primary Import Sources:
- China: $435 million (+62.9% YoY)
- Vietnam: $116 million (+92.1% YoY)
- Hong Kong: $1.43 million (+54.1% YoY)
The significant import growth from China and Vietnam reflects the global supply chain structure, where components and some finished devices are manufactured in these countries before final assembly or sale
OEC World.
Trade Surplus
South Korea maintained a strong
$44.2 billion ICT trade surplus in H1 2025, demonstrating the sector's critical importance to the national economy. Mobile phone exports were particularly boosted by strong sales of flagship models and high-performance components like camera modules
Korea.net.
South Korean Mobile Device Manufacturers
The investigation identified 90 manufacturers and suppliers in South Korea's mobile device ecosystem. While Samsung dominates finished devices, a sophisticated network of component suppliers and specialized manufacturers supports the industry.
Leading Manufacturers Profile
Key Manufacturing Strengths:
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Samsung Semiconductor: Leading manufacturer of mobile processors, DRAM, SSDs, image sensors, and display ICs. Operates advanced fabs in Pyeongtaek and Austin, Texas. Employs over 10,000 people and leads in memory chip production with state-of-the-art 14nm DRAM and EUV lithography capabilities.
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Samsung Electro-Mechanics: World's second-largest supplier of MLCCs (Multi-Layer Ceramic Capacitors), producing critical components for telecommunications, automotive, and AI chip applications. With 34,000+ employees and $6.9 billion annual revenue, the company operates facilities across South Korea, Philippines, and Thailand.
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LG Display: Global leader in OLED and LCD panel manufacturing. Produces displays for TVs, monitors, laptops, mobile devices, and automotive applications. Notable for Smart OLED technology for phones, watches, and tablets, with manufacturing in South Korea, China, Poland, and Mexico.
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SK Networks Ltd: Diversified AI-focused company trading in ICT devices including laptops, tablets, and used mobile phones. With 1,000+ employees and $1.2 trillion annual revenue, the company is transforming into an AI-centric business model.
Component and Specialized Manufacturers:
The ecosystem includes numerous specialized suppliers producing:
- Mobile phone housings and components
- Camera modules and 3D sensing technology
- Printed circuit boards (PCBs) and FPCBs
- Electronic components (resistors, capacitors, connectors)
- Mobile payment solutions and smart mPOS devices
- Semiconductor packaging materials
- Display materials and electronic chemicals
Consumer Trends and Preferences
Premium Product Preference
South Korean consumers demonstrate a strong preference for high-end devices:
- 74% of Q3 2025 sales were flagship products over $800
- Strong demand for latest chipsets and GenAI features
- Brand loyalty remains high, particularly to Samsung
- User penetration for smartwatches: 12.09% in 2025, expected to reach 16.71% by 2030Statista
Feature Priorities
- High-performance processors: Latest chipsets with AI capabilities
- Superior camera systems: Advanced photography and video features
- Battery life: Longer usage times and fast charging
- Display quality: OLED screens with high refresh rates
- 5G connectivity: Now essentially standard across all price points
- Foldable form factors: Growing interest in innovative designs
- Health monitoring: Especially in wearable devices
Mid-Range Market Revival
While premium products dominate, the mid-to-low-end market is experiencing revitalization:
- New product launches from international brands like Xiaomi
- Samsung's A-series continues strong performance (A36, A16, A15)
- Growing competition increases value for budget-conscious consumers
- 5G features now available across all price segments
Market Challenges and Opportunities
Challenges
- High Price Points: Foldable phones remain significantly more expensive than traditional smartphones, limiting mass adoption beyond replacement demand
- Domestic Wearable Slowdown: H1 2025 saw a 6.2% decline in wearable shipments despite strong global growth
- Economic Uncertainties: Consumer priorities shifting due to economic conditions
- Import Competition: Rising imports from China and Vietnam create pricing pressure
Opportunities
- 5G-Advanced Deployment: 5.5G commercialization opens new applications in XR, metaverse, autonomous vehicles, and smart factories
- AI Integration: Expanding AI features across price segments creates differentiation opportunities
- Foldable Innovation: Tri-foldable devices and improved form factors address current limitations
- Health Tech: Growing health consciousness drives wearable device adoption
- Export Growth: Strong international demand for Korean mobile components and flagship devices
- Ecosystem Integration: Seamless connectivity between smartphones, wearables, appliances, and smart home devices
Future Outlook
The South Korean mobile devices market is positioned for continued growth and innovation through 2030:
Short-Term Projections (2025-2026)
- Smartphone market revenue: $8.65 billion in 2025
- Continued Samsung dominance with 80%+ market share
- Apple's market share expected to grow with iPhone 17 series momentum
- 5G-Advanced commercialization driving new use cases
- Foldable phone market reaching 20.3 million units globally
Medium-Term Outlook (2027-2030)
- Smartphone market: $14.67-19.00 billion by 2030 (depending on projection)
- Annual unit volume: 19.74 million smartphones
- Wearable technology market: Significant growth with 17.55% CAGR
- 5G devices market: $73.75 billion by 2030
- Smartwatch user penetration: 16.71% by 2030
Long-Term Vision (2031-2035)
- Wearable technology: $7.7 billion by 2035
- Smartwatch market: $4.16 billion by 2033-2035
- AI integration becoming ubiquitous across all devices
- Foldable and flexible form factors becoming mainstream
- Advanced health monitoring standard in wearables
Conclusion
South Korea's mobile devices market in 2025 exemplifies technological leadership, consumer sophistication, and industrial strength. With the world's highest 5G penetration, rapid AI integration, and a thriving foldable phone segment, the market sets global trends rather than following them. Samsung's domestic dominance is unparalleled, yet the company faces increasing competition from Apple's premium devices and Chinese manufacturers' value offerings.
The market's evolution is characterized by premiumization, with consumers willing to pay for cutting-edge features like on-device AI, advanced cameras, and innovative form factors. At the same time, the ecosystem of component manufacturers and suppliers demonstrates South Korea's comprehensive capabilities across the entire value chain, from semiconductors and displays to finished devices.
Looking ahead, the convergence of 5G-Advanced infrastructure, AI capabilities, health monitoring, and form factor innovation positions South Korea to maintain its leadership in mobile technology while addressing new opportunities in wearables, XR devices, and the broader smart device ecosystem. The market's projected growth—whether measured by the conservative 1.22% CAGR or more optimistic 8.1% CAGR—reflects both maturity and continued innovation potential in this dynamic sector.