Samsung orders recall of all Note 7 devices, both new & replacements.

A worst-case scenario may become a reality for Samsung. The Galaxy Note 7 may become known as one of the worst Android phone introductions of all time. Unveiling the Note 7 has become an embarrassment for the South Korean technology giant. It is unclear where the Samsung problem began, but it is now taking its toll. Samsung investors watched as the stock plummeted over 10% in Seoul, wiping about $20 billion off the company’s market value. Samsung is no longer the reliable smartphone brand it once was. 

With the Note 7, Samsung strengthened its power as a speedy competitor,

 said Lee Seung-woo, an analyst with IBK Investment & Securities

It was previously reported that Samsung’s wish to beat Apple prevented a full product review. Bloomberg quoted that Samsung compelled its engineers to produce the device under intense deadlines. After recalling 2.5 million Note 7 devices prior to September 15, Samsung claimed that the latest version of the Note 7 smartphones were safe. This was not the case, as experts are now putting Samsung’s supply chain under a microscope.

In mid-September,  the next Note 7’s came with a software update that displayed a green battery icon. This was a change from the white one, the color change identifies that the phone is unaffected. The new devices also contained non removable replacement batteries, which also overheated. Samsung claimed these reports were  “isolated cases”. At least seven more fires were reported in the last month from replacement Galaxy Note 7 devices in the United States.

Earlier this month,  Samsung again advised global customers to stop using the Note 7. Owners in the U.S. are expected to return the phones for a refund or an exchange for a different smartphone.

For the benefit of consumers’ safety, we have stopped sales and exchanges of the Galaxy Note 7 and have consequently decided to stop production,

Samsung said in a statement.

Samsung excluded other markets such as China from its first recall. Despite the fact that two Samsung Galaxy Note 7 units caught on fire, Samsung claimed that the battery was not the issue. Regulators in China formally recalled the Galaxy Note 7, overturning Samsung’s initial stance about reported battery explosions. At least 20 cases of overheating or explosions involving the Galaxy Note 7 were found. Samsung stated it was now recalling nearly 191,000 of the devices in China. This is now the end of the Galaxy Note 7, Samsung was quoted yesterday saying:

Samsung is asking all carrier and retail partners here and around the globe to stop sales and exchanges of the Galaxy Note7. Since the affected devices can overheat and pose a safety risk, we are asking consumers with an original Galaxy Note7 or a replacement Galaxy Note7 to power it down and contact the carrier or retail outlet where you purchased your Galaxy Note7.

Now every major U.S. carrier is preventing further sales and replacements of the Galaxy Note 7. As each carrier offers different options, Samsung wasn’t much more helpful. Yet for over a month after the first explosion, Samsung continued the production, sale and advertising of the Galaxy Note 7. Perhaps those loyal and trusting Samsung customers will now have second thoughts before purchasing another Samsung product.

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