Sam­sung halt­sNote 7 pro­duc­tion

China Daily (USA) - - BUSINESS - By REUTERS in Seoul

Sam­sung Elec­tron­ics Co Ltd has sus­pended pro­duc­tion of its Galaxy Note 7 smart­phones fol­low­ing re­ports of fires in re­place­ment de­vices, a fur­ther set­back for the tech gi­ant in the midst of its worst ever phone re­call cri­sis.

Sam­sung’s de­ci­sion to tem­po­rar­ily halt Note 7 pro­duc­tion was made in co­op­er­a­tion with au­thor­i­ties in China and the United States, as two US car­ri­ers have stopped ex­chang­ing or sell­ing new Note 7 phones, Yon­hap News Agency cited an un­named source at a Sam­sung part­ner firm as say­ing onMon­day.

In a state­ment and in a reg­u­la­tory fil­ing, Sam­sung said it is “tem­po­rar­ily’’ ad­just­ing the GalaxyNote 7 pro­duc­tion sched­ule and pro­duc­tion vol­ume to “en­sure qual­ity and safety mat­ters’’.

But Sam­sung fell short of con­firm­ing or deny­ing ear­lier me­dia re­ports that it had halted pro­duc­tion.

Prob­lems with re­place­ments for the Note 7 model would cre­ate a new and po­ten­tially costly chap­ter to a global scan­dal which has hurt the rep­u­ta­tion of the world's big­gest smart­phone maker.

It also could add new dan­gers for con­sumers.

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