After many reports of #Galaxy Note 7 phones exploding and catching fire, #samsung recalled around 2.5 million phones last month.
However, replacement phones continued to experience the same problem of sudden explosions and burning phones.
This left Samsung with no choice but to immediately take the device off the market and stop its production.
Whoever owns a Samsung Galaxy Note 7 is expected to be able to take it back for a refund or an exchange for a different Samsung phone.
Battery identified as the cause of fire
Explosions of the #Smartphone were reported and even a plane needed to be evacuated after a device was found to be burning.
The problem lies with the battery. Experts say that the high density of energy inside the battery causes the devices to catch fire.
Samsung supposedly equipped the replacement phones with a safer battery. However, the devices were still catching fire and therefore not safer. An official at the South Korean safety agency said the replacement’s problem might be different from the problem of the original smartphone.
Authorities in the US and South Korea started with official investigations of the original device as well as the replacement.
Financial losses and Image loss
Galaxy Note 7 was set to be an innovative product in the premium range. Samsung was very ambitious to be better and faster than their competition, especially the Apple IPhone.
Unfortunately, now they have to deal with a high financial loss as well as a high image loss.
BBCreported that this Tuesday, Samsung Electronic's botched recall and re-release of the product cut about $17bn (£13.8bn) off its market value.
The recall and total stop of the device could also cost Samsung consumer faith and high-end users in the long run. Consumers prefer brands because of product reliability. Trust in the reliability of Samsung's products is clearly shaken and recovering from their image loss will be costly for them.
The device was never released for sale in the UK. However, some people have already received one from places outside Europe, and Samsung confirmed it had sold around 45,000 through pre-orders in Europe.