Smartphone giant, Samsung, halted sales of its Galaxy Note 7 smartphones and asked consumers to stop using the ones they’ve already purchased including the ones exchanged and to put it off, this indeed is another blow to South Korean company as it struggles with a crisis over exploding batteries.
Because consumers’ safety remains our top priority, Samsung will ask all carrier and retail partners globally to stop sales and exchanges of the Galaxy Note7 while the investigation is taking place. Consumers with either an original Galaxy Note 7 or replacement Galaxy Note 7 device should power down and stop using the device and take advantage of the remedies available.
Earlier on Samsung recalled the Note 7 and started a replacement scheme, but after customers reported that replacement phones were also catching fire, the company raised the prospect of a second recall, from the looks of it Samsung may be forced to scrap an entire generation of Note smartphones, a severe setback in its competition with other smartphone manufacturers such as Apple Inc.
The manufacturer said it is “working with relevant regulatory bodies to investigate the recently reported cases involving the Galaxy Note7″.
It (Samsung) must find the cause and clearly say what it will do about it, that way customers won’t feel uneasy when buying other Samsung phones. – Yoo Jong-woo, Samsung Analyst
Regulators in Korea and the U.S. also asked Samsung to stop selling or exchanging the phones. “Due to the ongoing safety concerns associated with Galaxy Note 7 phones, it is the right move for Samsung to suspend the sale and exchange of all Galaxy Note 7s,” said Elliot Kaye, chairman of the U.S. Consumer Product Safety Commission.
Although Samsung issued replacements for the Note 7 lots f users still had issues with it, a man in Kentucky said he woke up to a bedroom full of smoke from a replaced Note 7, days after a domestic flight in the US was evacuated after a new device started emitting smoke in the cabin. Concerns are now raised over further defects beyond the battery cell, following several reports in the US of phones catching fire that showed the green battery icon Samsung added to replacement phones to mark them as safe.
Samsung says the recalls affects 2.5 million devices, 45,000 Note 7s had been sold across Europe through pre-ordering, mostly in the UK. More than 75% of those have been replaced with either a Note 7 or another Samsung handset. This has had a huge impact on Samsung and a damage to brand image and reputation: the company’s share price tumbled 7% in trading in Seoul on Tuesday, taking off billions of pounds off its value, while Apple has seen its stock rise.
Samsung, founded by Lee Byung-chul in 1938, is a South Korean multinational conglomerate company headquartered in Samsung Town, Seoul. Samsung diversified into areas including food processing, textiles, insurance, securities and retail. Samsung entered the electronics industry in the late 1960s and the construction and shipbuilding industries in the mid-1970s.