The global electronics giant has since delayed shipment of the smartphone to mobile carriers all over the world citing quality control issues. “The pending Apple launch puts all the more pressure for them to contain this quickly”.
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Samsung did not comment on what problem it was trying to address or whether other markets were affected besides South Korea. Samsung also added an iris scanner to the Note 7, which lets users unlock the phone by detecting patterns in the eyes.
Industry watchers say Samsung will be able to take the likely recall as an opportunity to upgrade its credibility, as long as it takes prompt and convincing measures.
Several people posted images and videos of charred Galaxy Note7s online and said their phones had caught fire.
The Galaxy Note 7 has already been released in 10 countries including South Korea and the United States.
It is unusual for Samsung to confirm a delay in sales of a device. A Dutch Android website claims it has received reports from retailers that the Galaxy Note 7 will be delayed till October in the Netherlands and Belgium.
Yonhap claims that Samsung is now in discussions with carriers that have already launched the Note 7 – Verizon Wireless is mentioned by name – about how the recall process will be handled.
Fall in Samsung’s share price yesterday.
Though a components pick-up will buttress overall profits, Park said mobile operating profit might decline by up to 200 billion won for July-September.
For what it’s worth, we’ve had a Galaxy Note 7 in the office for a few weeks and haven’t experienced any explosions or overheating.
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The brokerage retained its third-quarter operating profit forecast of 8.5 trillion won.
