Apple announced its first-ever foldable iPhone at its annual products event on Wednesday as customers worldwide watched for fresh products, as well as the debut of Apple CEO John Ternus.

The foldable smartphone, called iPhone Duo, folds open like a book, producing one continuous screen that is 80% larger than the company’s latest version of the iPhone Pro, the company said, adding that when opened it will also be the thinnest iPhone ever.

The screen will be compatible with the iPhone Pencil, currently available only for iPad users, and can also be unlocked with Apple Watch, according to Apple.

iPhone Duo will come in two colors, Apple said — Star White and Night Sky — and can also be used partially folded.

The announcement marked Apple’s splashy entry into a long-existing product category. Foldable phones came onto the market in 2018, but they account for a small fraction of smartphone sales.

“Others have created a foldable that feels like two phones awkwardly stuck together,” Ternus said, adding that iPhone Duo will “redesign the experience of using a foldable phone.”

Prices for the iPhone Duo start at $1,999. It will be available for pre-order on Oct. 16 and in-store on Oct. 23, Apple said.

The company also unveiled the latest models of its smartphone: iPhone 18 Pro and iPhone 18 Pro Max. The products boast an improved camera, a bolstered memory chip and a longer battery life compared to their predecessors, Apple said. Each of the models is also equipped to integrate Apple Intelligence, the company’s AI capability.

The price of the iPhone 18 Pro starts at $1,199, while the iPhone 18 Pro Max starts at $1,299. Both smartphones are available for pre-order on Sept. 12 and in-store on Sept. 18, according to Apple.

The glossy showcase comes days after Ternus took the helm of the tech giant on Sept. 1, after having worked at the company for 25 years. Ternus replaced former CEO Tim Cook, who succeeded co-founder Steve Jobs in 2011.

The world’s second-largest company, as measured by market capitalization, depends largely on its smartphone business while offering an array of other products such as its iPad, Apple Watch and MacBook.

Shares of Apple have surged 22% in value over the past six months, far outpacing the S&P 500’s growth of 13% over that period.

The expected announcement of a foldable iPhone marks Apple’s latest effort to weigh in with a standout option in an existing product category, often at a higher price point.

In 2024, the company unveiled Apple Vision Pro, a mixed reality headset meant to compete with Meta Quest and other early-to-market offerings. At the time, the most affordable version of Apple Vision Pro sold for $3,499.

Apple also unveiled AI-driven features across several key products in 2024, heralding its long-awaited entry into the high-stakes AI race. The AI capability, dubbed Apple Intelligence, amounts to the “next big step for Apple,” Cook said at the time.

Apple released Apple Watch in 2014, referring to it then as the company’s latest “category-defining product.”