AT&T Considering Ending Sales of Samsung Galaxy Note 7

By Dane Lorica, | October 09, 2016

AT&T could end its sales of the Samsung Galaxy Note 7 smartphone soon.

AT&T could end its sales of the Samsung Galaxy Note 7 smartphone soon.

AT&T Inc. is looking at the possibility of stopping the sales of Samsung Galaxy Note 7 due to safety concerns.

The American telecommunications conglomerate is expected to announce its final decision on Oct. 14, according to a source who requested anonymity. However, Fletcher Cook, a spokesman for the company, refused to comment on the issue.

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Despite the fact that Note 7 replacements were released in September, AT&T has been offering alternative smartphones to users requesting for swap.

Samsung issued an international recall for the Galaxy Note 7 due to its defective lithium battery which results in overheating and explosion. Many customers have complained that while charging the smartphone, its battery exploded and set other objects on fire. In light of the defect, airline companies have prohibited the use of the smartphone during flights.

AT&T's decision poses a great impact to the Seoul-based company. Samsung's current bill due to its global recall of 2.5 million Note 7 units amounts to about $1 billion, according to Bloomberg's estimates.

Samsung said on its official website that it understands the concern of carriers and users' about the replacement units of the Note 7 that are being released.

Meanwhile, Samsung's stock has recovered from its $22 billion loss of market share following the announcement of Note 7 recall on Sept. 1.

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