It’s
official. The US Consumer Product Safety Commission has issued a recall
of Samsung’s Galaxy Note7 smartphone. According to the commission’s
report, the handset, which went on sale in the US in August and received
positive reviews, can overheat and catch fire and poses a risk of
serious burns to consumers.
The news isn’t exactly unexpected, as Samsung issued a statement
on Sept. 2 saying that it would replace consumers’ Note7 devices with a
new one if they felt unsafe. The news about the phone’s risk of
catching fire first surfaces one South Korean social media, when users
began posting images of their apparently scorched handsets.
From
there, Samsung began investigating the matter and found 35 instances of
the Note7 burning. The issue was traced back to a flaw in the handsets’
batteries.
After
the initial reports of the fires began circulating, Samsung saw its
market value slashed by $7 billion. When the company announced that it
was issuing a voluntary recall, however, the value fell another $7
billion.
According to Bloomberg, Samsung eventually lost $22 billion in market value over two days.
The
Galaxy Note 7 is a hugely important product for Samsung. The handset is
marketed as the company’s number two mobile device behind the flagship
Galaxy S7. It also serves as a direct competitor to Apple’s big-screen
iPhone 7 Plus.
As
a result, Samsung’s misfortunes could prove to be a boon for Apple. The
iPhone maker is already reporting that preorders of its iPhone 7 Plus
has sold out online. And with news that Samsung’s handsets could catch
fire, consumers may be more included to opt for and iPhone for their
big-screen handset needs.
If
you’ve already purchase a Galaxy Note7, the USCPSC provides information
on ways for you to replace your device or receive a refund.
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