The exploding Samsung Galaxy Note 7 units are starting to take its toll on the Korean tech giant. The company is not only shelling out millions of dollars in its recall efforts, but it has lost consumer trust as well. Moreover, the company's shares are suffering in the market, indicating a grave loss.
The Dwindling Numbers
As USA Today notes, Samsung's shares decreased by 7 percent at the start of the week. This indicated an estimated $14.3 billion loss in the market. All because of the multiple reported incidents of exploding Galaxy Note 7 units.
The Damage To Samsung
The total damage that this is causing Samsung is definitely unknown at this point. Not only does the company have to shoulder the shipping costs, recall costs and liability costs, but the exploding Samsung Galaxy Note 7 units are damaging the overall reputation of the company as well.
The Most Recent Incidents
Over the weekend, a 6-year-old boy from New York was burned while the Samsung Note 7 burst in his hands. "The child was watching videos on the phone when the battery exploded," the boy's grandmother narrated. After the incident, the boy was rushed to the hospital, but everything has been settled.
As BGR adds, This is just the latest in a growing list of incidents of the handheld exploding in various cars, homes and hotel rooms.
What This Means For The Competition
With the recent release of the iPhone 7 and the LG V20, as well as the upcoming release of the 2016 Nexus phones, Samsung's woes may transform into good news for its various competitors. Apple alone sold about 14.3 million iPhone 7 and iPhone 7 Plus units over the last weekend alone.
"The gift could not have been more timely from Samsung to Apple," Gene Munster, an analyst at Piper Jaffray said. "It will be a tailwind for iPhone sales. When you're debating about which phone to get, you want to hold off until the phone is safe."