It looks like the inevitable has happened: Samsung is permanently discontinuing the Galaxy Note7 smartphone, after repeated manufacturing problems that cause the handsets to catch fire and explode.
After months of frustration, sales halts, lawsuits, massive worldwide recalls and numerous FAA warnings and eventual bans, it had looked like Samsung might be able to put the whole Note7 fiasco behind it. That’s until the replacement units, which were supposed to be safe, also started catching fire.
Now, according to a report from the Wall Street Journal, Samsung is discontinuing the Galaxy Note7 permanently. This move was expected by many, after just hours ago the company announced it would stop selling the device, and asked users to “power down” their handsets.
As of today Samsung has announced South Korean regulators that it would stop the sale and production of the Note7. The company said:
Taking our customer’s safety as our highest priority, we have decided to halt sales and production of the Galaxy Note7.
Samsung's shares fell yesterday by more than 7% after the company announced it's decision to ask partners to stop selling the device. Shares are expected to continue to tumble today.
Previous reports suggested that the issues with the Note7 handset stemmed from tight deadlines and impulsiveness on Samsung’s part who wanted to get in ahead of Apple’s new iPhones. This was never confirmed by the company, but recent reports suggest the South Korean giant is taking a slower approach with the upcoming Galaxy S8.
The Galaxy S8 handset is expected to feature a number of big changes, including dual-cameras, a new processor, and a big redesign. The handset has a lot riding on it, with Samsung reportedly anxiously waiting for its release in the hopes that it will restore the company’s public image.
Source: Wall Street Journal