Samsung says the cost of its decision to recall 2.5 million Galaxy Note 7 smartphones because of an exploding battery issue represents a “heartbreaking amount”, which some analysts estimate at between $1 billion and $5 billion. We will update this piece with more information over time. The problem is exacerbated by the fact that batteries in the Galaxy Note 7 cannot be removed by the user – a design decision to make the phones slimmer and waterproof.
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Samsung is recalling and replacing up to 2.5 million Note 7 devices, with almost $1 billion dollar cost to the company. Recalling the new phone, which was already on sale in the U.S. and supposed to go on sale in the United Kingdom fully on 2 September, is likely to cost Samsung dearly.
“It’s the first time they saw such a thing”, he said.
“It’s an unfortunate event; it feels like Samsung rushed a bit, and it’s possible that this led to suppliers also being hurried”.
Should you ignore the Note 7 recall?
Details of the Galaxy Note7 phone recall will be released in coming days.
Since the recall announcement, shares in Samsung SDI have dropped, and continued sagging yesterday. Samsung’s latest phablet has turned out to be a massive failure if you think about it.
How do you exchange/return your Note 7?
Further instructions for each method are below.
The newest in the long line of Samsung’s smartphone devices, the Note 7 was launched just weeks ago. If you choose that option, you can also exchange your accessories. If the company involved the Consumer Product Safety Commission for an official recall, the government would have been given the authority to make selling the Galaxy Note 7 illegal until the units are replaced.
In addition to the warning, the Galaxy Note 7 has been removed from the list of devices that are compatible with the Gear VR. The company will refund the difference in price and any accessories.
GTA explained that customers who have already purchased the Note 7 will be contacted by customer support to discuss available options.
Sprint: Sprint CEO Marcelo Claure posted a statement on Twitter detailing Sprint’s plan.
From the 19th September, Samsung will let people swap their current Note 7s and receive a brand new one in return.
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Samsung stopped sales before the Note 7 actually released in the United Kingdom, but British networks had promotional deals that allowed pre-order customers to get their devices early.
