Samsung Discontinues Galaxy Note 7 For Good; Fiasco Costs Samsung Whopping $17 Billion
Samsung has been in a terrible situation for some time now, because of Galaxy Note 7 flagship smartphone and has received lot of flak for it. Unfortunately, the company did not take the correct measures to desensitize the issue, instead it made it worse.
Over a period of time, multiple Note 7s around the world exploded which called for a mass recall of these handsets. However, a few weeks later, the replacement smartphones started exploding as well, making the situation completely out of hand.
All this fiasco is finally going to end as the company plans to end the production of Galaxy Note 7, indicating that the things are completely out of hand now and there is no they can reverse the situation. It takes guts to do this, considering the phone got released only a few months back.
According to The Wall Street Journal, “Samsung said in a filing with South Korean regulators that it would permanently cease production and sales of the device, following a string of reported incidents in which supposedly safe replacements of the smartphone overheated and in some cases caught fire.”
In hindsight, they should have taken this decision long time back, and probably tested their phones before releasing them for a second time. Such incidents are not expected from a company as big and respected as Samsung.
Samsung’s shares have also dropped by further 8%, bringing down the market value by $17 billion. This is a huge blow to the company, as it plans to release the next installation of S7 early next year, as well as a few phones in Korea in the coming weeks.
Possible end to the Note legacy?
If reports are to be believed, the Note series could get eliminated completely from the lineup of Samsung smartphones. This means no new Note smartphones from next year onwards, since the company has literally made a fool out of itself.
Some analysts also say that since S7 and S7 Edge have nearly the same functionalities as the Note series, they might add a stylus as an accessory on these phones to provide similar features. However, we highly doubt this will be done, because Samsung has always been very passionate about the Note smartphones.
The next iteration of S series will be launched early next year, and then it would get clearer on whether the company will launch another Note smartphone in 2017, by skipping the 7th version.