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Samsung’s Galaxy Note7 recall raises hype about aftermath of premium phones
Collected
2016.09.07
Distributed
2016.09.08
Source
Go Direct
Samsung Electronics Co.’s pledge to recall all Galaxy Note7 phones after some of the devices caught fire has put a spotlight on what the world’s largest smartphone maker would do with the massive piles of premium phones equipped with the newest and latest technology features.

Samsung Electronics has offered to exchange all phones to brand new ones upon discovering battery defect that can cause explosion while charging. In just two weeks since release, the company had shipped out 2.5 million Galaxy Note 7 devices. The global recall could cost the company up to 1 trillion won ($904 million).

One option would be refurbishing the expansive phone parts into cheaper version.

The consideration comes after growing demand from consumers who are willing to buy the high-end smartphone cheap if the battery is replaced.

Refurbished phones are devices bought back after one-year use and resold at cheap rates through upgrade and remodeling. Many would be interested in buying the premium phones at cheaper rate after they are fitted with brand new and safe batteries.

But some company officials argue such phones should be available only for Samsung employees to maintain the premium reputation of Galaxy Note7.

They instead suggest the collected phones should be reassembled and repackaged entirely into a special limited version.

Another option would be repacking them and offering them in cheaper price range to China, India, and other emerging markets.

By Song Sung-hoon and Lee Kyung-jin

[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]