(Bloomberg) – Samsung Electronics Co. halted production of its Note 7 smartphones after customers reported problems with devices manufactured since the company issued a worldwide recall amid reports of exploding batteries — including at least five new incidents under investigation in the U.S.
Samsung temporarily suspended production of its most expensive phone, a person with direct knowledge of the matter said Monday, asking not to be identified because the decision isn't public. The move came as wireless carriers including AT&T Inc., T-Mobile US Inc., Verizon Communications Inc. and Australia's Telstra Corp. stopped selling Note 7s following reports of problems with devices thought to be safe.
The South Korean company has been engulfed in controversy after the high-end smartphone hit the market two months ago and customers began posting videos of charred and damaged handsets. Samsung quickly issued a recall and began working with officials worldwide to replace the original shipment of 2.5 million phones. But customers have since said that replacement Note 7s and models with supposedly safe batteries were overheating and catching fire, fueling concerns Samsung hasn't solved the battery problems after all.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
