As you know by now, Samsung halted production on its new Galaxy Note 7 based on reports that a small percentage of the devices were exploding. Samsung quickly conducted their own investigation and narrowed the problem down to batteries overheating and exploding. Samsung claims that 35 incidences were reported globally and that they have sold upwards of 2.5 million Galaxy Note 7s. No definite plan of action is in place yet, but Samsung has stated that it will hold a massive recall of the device – whether it will involve replacing the battery or giving the customer a new unit is not entirely known. The recall is affecting ten countries including the US and Canada. In a statement, Samsung Canada said, “For customers who already have Galaxy Note 7 devices, we will voluntarily replace their current device with a new one over the coming weeks. Canadian Customers may call 1-800-SAMSUNG for additional information.”
The Galaxy Note 7 open to rave reviews and was liked by the critics and the public. It is a shame that several problems have plagued the new device, especially at a time when Samsung's profits were up - based on the strong sales of the Galaxy S7 and Galaxy S7 Edge. Samsung stock has already dropped in price and with a potential 2.5 million devices to replace or check out, the costs to Samsung will be enormous. It will not only cost Samsung money now, but future buyers may be leery of purchasing the Galaxy Note 7 even after the recall - Samsung was predicting unprecedented sales of its Galaxy Note 7.
While it may hurt Samsung in the short term, they acted wisely in acknowledging the problem immediately, investigating the issues, and it sounds as though Samsung will replace all of the devices. If there are tight enough controls in place, Samsung may be able to identify which devices have the defective battery based on serial numbers, which would help prevent Samsung from recalling every device. However they decide to proceed, having the 800 number for Canadians to call is a great idea and will help boost consumer confidence.
The problem may have stemmed from the tremendous response from customers forcing Samsung to purchase batteries outside their normal parts channels. It is amazing how important a little battery can mean for a product.