Galaxy Note 7 Latest: permanently recalled, 96 incident reports, $100 exchange credit

Samsung couldn’t have scripted the last month and a half any worse. Shortly after launching its newGalaxy Note 7 smartphonein August, Samsungdelayedfurther shipments and ultimately issued anofficial recallwith help from the US Consumer Product Safety Commission on September 15 due to faulty batteries that could overheat and catch fire.The South Korean electronics giant asked buyers to return their original Galaxy Note 7 handset in exchange for one with a battery deemed safe for use. It wasn’t long before reportsbegan to surface thatreplacement handsetswere also catching fire.The US Consumer Product Safety Commission on Thursdayonce againrecalled the Galaxy Note 7 just a couple of days after Samsungpermanently halted production, closing the door on what was likely Samsung’s best smartphone to date.It’s an unprecedented and unfortunate mishap no matter how you slice it.For Samsung and its shareholders, it’s a sobering setback considering the company had just got its smartphone business back on track following a rocky patch during theGalaxy S5 eraand was in an excellent position to compete against other flagship smartphones this holiday season. The Galaxy Note7 received rave reviews and was even recognized as having thebest display everon a mobile device fromDisplayMate.It’s also hard not to feel bad for the unlucky consumers that sufferedproperty lossor sustained injuries asa result of devices catching fire. Some may even view it as a black eye for the mobile industry as a whole, especially as sales of smartphones continue to slow due to both saturation and stalled innovation.So, where does that leave us today?The US Consumer Product Safety Commission says there have been 96reports of batteries overheating in the US alone including 23 since the September 15 recall announcement. Samsung received 13 reports of burns and 47 reports of property damage associated with the Galaxy Note 7.First things first – if you have a Galaxy Note 7, discontinue use and turn it in immediately.Continuing touse the phonenot only puts you and your family at risk for harm, but others as well. What if you live in an apartment complex and the Note 7 you refused to give up catches fire and kills someone? Do you really want that on your conscious (not to mention the possible legal ramifications)?What’s more, now that Samsung hasrecalled the smartphone, how do you expect to get updates for it in the future short of jailbreaking it? Seriously, don’t risk it.Galaxy Note 7 owners that elect to exchange the device for another Samsung smartphone can receive upto a$100 bill creditfrom select carrier and retail outlets. Those that have already done so are eligible to receive up to a $75 bill credit in addition to the $25 previously received. Optionally, you can chooseto exchange your Galaxy Note 7 for another brand of smartphone or get a full refund. Either way, you’ll still receive a $25 credit for your troubles.More information on the refund andexchange process can be found by visitingSamsung’s website.The recall was initially expected to cost Samsung as much as$1 billionbut in the wake of the second recall and production stoppage, that figurehas swelled toat least $2.3 billionbased on a recentregulatory filing.Far more worrisome, however, could be the damage done to the company’s reputation. In a recent survey of 1,000 Samsung customers,Branding Brandfound that 34 percent said they would not purchase another smartphone from the brand.With the Galaxy Note 7 sidelined, one has to wonder if Samsung is making plans to expedite the arrival of theGalaxy S8or if the company iscontent to stick to precedent and hold it back until Q1 2017. I suspect there’s simply not enough time to get the Galaxy S8 to market for the holidays but moving its launch up a month or two into the January – February window certainly seems plausible, all things considered.