![](http://investorshub.advfn.com/images/default_ih_profile2_4848.jpg?cb=0)
Friday, September 09, 2016 10:17:59 AM
Samsung Shares Unloaded in Galaxy Note 7 Fire Sale
Alert
Apple (NASDAQ:AAPL)
Intraday Stock Chart
Today : Friday 9 September 2016
Click Here for more Apple Charts.
Investors wiped more than $10 billion off Samsung Electronics Co.'s market value Friday after U.S. air-safety regulators took the unusual step of singling out its Galaxy Note 7 smartphone as a potential airborne fire hazard.
The shares closed at 1.575 million won ($1,432), down 3.9%.
Airlines including Qantas Airways Ltd. and Virgin Australia Holdings Ltd. warned passengers not to use or charge their Galaxy Note 7s on planes, while more reports of fires surfaced in the U.S.
Samsung, which last week recalled 2.5 million of the waterproof, iris-scanning smartphones following reports of fires caused by faulty batteries, said Friday it plans to expedite new shipments in response to the U.S. Federal Aviation Administration's decision to ban the use of the device on planes.
Samsung is also offering $25 gift cards to U.S. Galaxy Note 7 owners who exchange their phones, and free virtual-reality headsets and a voucher for about $50 of content to Indian consumers who preordered the Note 7.
In South Korea, some carrier shops said no customers had canceled Galaxy Note 7 orders despite its being the subject of one of the largest recalls in smartphone history.
"There is no resistance to the Galaxy Note 7," said a staff member at an SK Telecom Co. shop in Seoul. "Customers have called in to ask about exchanging their devices, but we haven't had a single cancellation yet."
Still, Kim Dan-bee, a 26-year-old high-school teacher in Icheon, a city south of Seoul, said she's now leaning toward Apple Inc.'s iPhone 7, unveiled this week.
"Personally, getting a Galaxy Note 7 would be an easier transition for me," said Ms. Kim, who's considering a replacement for her two-year-old Galaxy Note. "But I'm a bit worried it might explode."
In China, Samsung launched the Galaxy Note 7 on Sept. 1 despite the fire reports, saying batteries in phones sold there come from a nonfaulty supplier. Batteries for Galaxy Note 7 phones sold in China are from Hong Kong-based Amperex Technology Ltd., a unit of Japan's TDK Corp., one of two suppliers; the other is Samsung SDI Co.
In a flashy intersection in Beijing's ritzy Sanlitun shopping district, a Samsung pavilion offers passersby a chance to test the Note 7 and its virtual-reality headset. Asked whether the Note 7 had battery issues in China, one attendant said she wasn't sure, while another said the Chinese battery supply is fine.
Samsung's broader challenge in China's smartphone market, the world's largest, is competing with the country's many budget brands. Once the leader there, Samsung ranked sixth in China in the second quarter with an 8% market share, according to research firm Canalys.
The Note 7 troubles are "a big blow for Samsung when it's trying to recover its position in China," said Nicole Peng, an analyst at research firm Canalys.
Pavilion visitor Cheng Wei, 36, said he hadn't heard about the Note 7 batteries, but that Samsung's phones aren't as good a value as their Chinese counterparts.
"I don't care too much about phone brands," said Mr. Cheng, currently a Meizu 3 user. "But if the features are all the same, of course I would still prefer a domestic brand."
Samsung has used its popular Galaxy phones to boost its mobile business, which has been struggling for more than two years amid strong competition from Apple and Chinese rivals.
Lilian Lin in Beijing and Juro Osawa in Hong Kong contributed to this article.
Write to Eun-Young Jeong at eun-young.jeong@wsj.com and Eva Douat eva.dou@wsj.com
(END) Dow Jones Newswires
Recent AAPL News
- Apple scores record 72 Emmy Award nominations & sweeps across top categories including Outstanding Limited series for “Lessons in Chemistry,” Outstanding Drama for “The Morning Show” & “Slow Horses” & Outstanding Comedy for “Palm Royale” • Business Wire • 07/17/2024 10:05:00 PM
- Match Group Soars 8% Amid Potential Sale Pressure; Deutsche Bank Anticipates 2Q Loss, and More • IH Market News • 07/16/2024 10:10:09 AM
- Alphabet Nears $23 Billion Wiz Acquisition, Trump Media Stock Soars 63% Pre-Market, and More • IH Market News • 07/15/2024 10:34:36 AM
- Ericsson Reports 14% Profit Increase, UBS Downgrades Tesla Shares, Ozempic Linked to Reduced Dementia Risk • IH Market News • 07/12/2024 10:28:11 AM
- Tamer-Than-Expected Inflation Data May Lead To Extended Rally On Wall Street • IH Market News • 07/11/2024 01:09:48 PM
- Costco Hikes Membership Fees; ON Semiconductor Stock Drops 3%; WD-40 Soars 13% on Strong Q3 Earnings • IH Market News • 07/11/2024 10:17:26 AM
- U.S. Stocks Rally Ahead Of Close Watched Inflation Data • IH Market News • 07/10/2024 08:44:00 PM
- NEAR Achieves New Milestones, TIA Faces Market Volatility, Block Unveils Advanced Mining Chips • IH Market News • 07/10/2024 07:47:39 PM
- Tech Stocks May Lead Initial Upward Move On Wall Street • IH Market News • 07/10/2024 01:11:51 PM
- Microsoft and Apple Exit OpenAI Board, TSMC Exceeds Forecasts with Record Revenue, and Other Key Updates • IH Market News • 07/10/2024 10:42:17 AM
- Paramount-Skydance $28B Merger, Boeing Agrees to Plead Guilty with $243.6M Fine, and More News • IH Market News • 07/08/2024 10:37:52 AM
- Apple Joins OpenAI Board, Logitech President Opts Out of Reelection, and More News • IH Market News • 07/03/2024 10:59:39 AM
- U.S. Stocks Close Higher; Nasdaq Outperforms • IH Market News • 07/01/2024 09:10:17 PM
- Dow Dips, Nasdaq Gains, Oil Prices Rise • IH Market News • 06/26/2024 11:00:03 AM
- SolarEdge Stock Falls 13%, Wegovy Approved in China, Grail Nasdaq Debut, Apple Rejects Meta Chatbot • IH Market News • 06/25/2024 10:36:11 AM
- UPS Divests Coyote Logistics in $1.025 Billion Deal with RXO, Under Armour Agrees to $434 million Settlement, and More News • IH Market News • 06/24/2024 11:00:20 AM
- Trump Media Resells Stocks and Warrants; KB Home Exceeds Q2 Expectations, and More News • IH Market News • 06/20/2024 10:55:11 AM
- Apple The Exchange TRX to welcome its first customers this Saturday, June 22, in Kuala Lumpur • Business Wire • 06/20/2024 02:00:00 AM
- Nvidia Overtakes Microsoft To Become World’s Most Valuable Company • IH Market News • 06/19/2024 09:32:08 AM
- Fisker Files for Bankruptcy, Chegg Stocks Rise on 23% Workforce Reduction, and More • IH Market News • 06/18/2024 11:02:13 AM
- Goldman Sachs Raises S&P 500 Forecast for 2024; Disney Secures Deadpool & Wolverine in Chinese Cinemas, and More • IH Market News • 06/17/2024 10:49:12 AM
- Adobe Soars 15% Pre-Market; Visa and Mastercard Encounter Hurdles in $30 Billion Agreement, and More • IH Market News • 06/14/2024 11:21:47 AM
- Tesla Surges 5% in Pre-Market; Virgin Galactic Drops 9% Following Reverse Stock Split, and More News • IH Market News • 06/13/2024 11:24:25 AM
- Tamer Than Expected Inflation Data May Spark Early Rally On Wall Street • IH Market News • 06/12/2024 01:07:00 PM
- Paramount Ends Skydance Talks, Oracle Shares Surge 8.7% on New Partnerships, and More News • IH Market News • 06/12/2024 11:19:10 AM
FEATURED Nightfood Holdings Signs Letter of Intent for All-Stock Acquisition of CarryOutSupplies.com • Jul 17, 2024 1:00 PM
Kona Gold Beverages Reaches Out to Largest Debt Holder for Debt Purchase Negotiation • KGKG • Jul 17, 2024 9:00 AM
Avant Technologies Welcomes Back Former CEO with Eye Toward Future Growth and Expansion • AVAI • Jul 17, 2024 8:00 AM
HealthLynked Expands Telemedicine Nationwide • HLYK • Jul 17, 2024 8:00 AM
Peer To Peer Network aka Mobicard™ Launches AI Investor Chatbot Boosting Engagement & Lead Generation on Ihub • PTOP • Jul 15, 2024 8:30 AM
Greenlite Ventures Announces AI Integration into No Limit Platforms • GRNL • Jul 15, 2024 8:00 AM