Galaxy Note 7 failure can cost up to $ 54 billion to Samsung : Galaxy Note 7 is proving a nightmare to Samsung’s business plans. Initially, the original version of the smartphone began to malfunction, including overheating and, as a result, the explosion. With the countermeasure international recall , about 2.5 million units already sold model were invited to be returned to the giant tour of South Korea. After exchanging most flawed copies, another blow was struck.
The new edition of Galaxy Note 7, whose promise was to be safe from incidents also began to combust . This time, instead of making a second global recall, Samsung can choose to completely cancel the sales of its so – called elite device. If the action is put into practice, analysts say a total of just over $ 17 billion will be lost by the company. That is, an amount of more than $ 54 billion simply would disappear of its financial resources.
Galaxy Note 7 failure can cost up to $ 54 billion to Samsung
According to experts, Samsung would sell about 19 million units of Galaxy Note 7 to the end of the last quarter of 2016. In view of the price more than $ 800 on every package sold, it is a billion dollar amount to be lost. Analysts already deal with certain permanent end of device availability, precisely because she was denigrated as to promote negatively the company name. The situation may worsen after the last blast case be studied.
In the worst scenario, the United States can conclude that the product is fundamentally flawed and ban sales of the device “- said Song Myung-sub, an analyst at HI Investment Securities
The based operators on US soil, including AT & T, T-Mobile, Verizon and Sprint, no longer allow the purchase of the Galaxy Note 7 . They also do not change the failure version of the same model, accepting only the old is replaced with another smartphone . This means that even the most avid users of the phablet need to choose a completely different phone, if you do not run the risk of getting injured, of course.
In all, the manufacturer received the report of 92 batteries overheating in the United States, including 26 burn evidence and 55 complaints about damage to private property. This is just one of the 15 markets where the Galaxy Note 7 was available before the recall, reflecting magnitude of the problem. Galaxy Note 7 failure can cost up to $ 54 billion to Samsung and Samsung has yet to release an official statement on the new explosions, so details on the future model should become official soon, keep watching to learn more.