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    Samsung will compensate component suppliers for the discontinued Galaxy Note 7

    General
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    Last updated: October 18th, 2016 at 05:09 UTC+02:00

    Samsung will compensate component suppliers for the discontinued Galaxy Note 7 and is considering giving them orders for other models of its smartphones and tablets to cushion the blow, reveals Reuters. It's currently unclear how much the gesture will cost the firm, but it'll likely add a few million to the $5 billion loss it's already believed to have suffered.

    In an official statement issued to the publication earlier today, the South Korean company announced that it would step up and pay for all unused Galaxy Note 7 parts that have already been manufactured, compensate suppliers for unfinished components and cover the cost of all the unused materials they purchased to make the parts.

    This news comes exactly one week after Samsung permanently halted production of the doomed Galaxy Note 7 following several reports surfacing claiming that replacement units had followed in the footsteps of their predecessors by bursting into flames without warning. Unfortunately, the exact cause of the flaw remains unknown, but the firm is currently conducting an in-depth investigation.

    Source General Galaxy Note 7Galaxy Note 7 recall

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