Samsung says there have been at least 35 recent cases of phones with "a battery cell phone issue", including a Brooklyn child who suffered burns after the phone exploded in his hands; a MA man whose phone allegedly caught fire while charging overnight and a Florida man whose phone exploded and engulfed his Jeep in flames.
As a result, the Federal Aviation Administration issued a note late last week strongly advising "passengers not to turn on or charge these devices on board aircraft and not to stow them in any checked baggage". "Lithium-ion batteries pack a lot of power into a small package", the Commission said in a statement.
It was estimated 2.5m handsets had been sold up till the recall since its release at the end of August, which would have calculated up to $1.5bn, but the knock-on effect of the faulty battery saga goes well beyond that figure.
It was the biggest daily drop in the firm's share price so far this year and shaved about 15 trillion won off the firm's total value.
As my colleague Shuli Ren wrote over the weekend, "The publicity storm is getting worse for Galaxy Note 7" as "airlines, including American Airlines (AAL), Delta Airlines (DAL), and United Airlines, are now urging consumers not to use or charge this phone on the planes".
"We've chosen our battlegrounds already", Nguyen said, suggesting that USA users are mostly either in the Android an iOS camps.
The mobile business accounts for a major share of profits for Samsung, which also produces home appliances and memory chips.
Spontaneous combustion wasn't on the feature list, but a six-year-old buy found out the hard way that Samsung's recalled Galaxy Note 7 phones can explode. "We encourage Galaxy Note 7 customers to contact their place of purchase or call the designated call center locally as soon as possible".
More broadly, though, the clamp-down on Note 7 has been swift. But the plan backfired horribly when reports emerged that the batteries in these smartphones got set on fire or exploded while charging, leading to a major security concern. He said the "TMZ-like reporting environment" around the Note 7 and its defects has left Apple "primed to swoop in and take full advantage".
No one was injured in that incident, and a Samsung spokesman said the company was looking into reimbursing the Florida man not only for his phone, but also for his Jeep.
The current chairman Lee Kun-Hee has been bedridden since suffering a heart attack in 2014. Lee Jae-yong, son of Samsung's chairman, has been nominated to the board, a decision expected to be confirmed by vote in October.
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