We Have to Move On Folks
Despite being arguably Samsung’s best phone in recent memory, the Galaxy Note 7 is dead. The Korean firm has pulled the plug on the production and sale of their latest flagship phablet, closing a very painful chapter in their history. With close to 2.5 million devices currently out in the wild that need to be returned and refunded, Samsung’s going to be feeling the effects of this blunder for a long, long time.
Samsung’s troubles are far from over.
Now that the Galaxy Note 7 is no more, Samsung’s work is cut out for them. Even after the last Note 7 is disposed of, Samsung’s troubles are far from over. Consumer confidence in the brand has been eroded, significantly. Bomb jokes and questions about a device’s flammability is now the staple in any Samsung phone announcement no matter what the device, which shows current consumer sentiment on the brand’s offerings.
Samsung’s expected to take a massive hit to both their stocks and their bottom line – Samsung’s shares fell 8 percent in their home country yesterday, taking out around $17 billion of market value. The following days won’t be kind to the Korean firm – expect greater losses in the company’s stocks as investors come to grips to the reality of the situation. Samsung will also feel the pinch in other areas of the company, as the halt of the production and sale of the Note 7 also means there’s lower demand for the curved displays, memory modules, processors and other components that comprise the Galaxy Note 7. Samsung’s one of the few phone players that is able to produce much of the components of their phones in house, which is now a liability in the face of the Note 7 disaster.
Will the Note Line Survive This?
There’s also the matter of the Note line itself. Personally I think that Samsung may scrap the Note line altogether, since the product line will always be associated with exploding, unsafe phones. Never fear though – Samsung will likely make a new product line to replace it, as there’s still big money to be made in high-end phablets that have top of the line specifications. Just don’t expect a Note 8, is what I’m saying.
For the meantime Samsung will need to focus on the Galaxy S8. After what happened with the Note 7, you can bet that the Korean company will leave nothing to chance, and they’ll absolutely make sure that the phone is as perfect as they can make it.
But with every disaster, there’s always a silver lining: you can bet that Samsung will now start looking into their internal process to see where they went wrong, and out from the ashes, they’ll emerge as a stronger company and hopefully, they’ll come out with better products.