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Samsung to counter Note 7-related losses by producing more Galaxy S7 units

Samsung to counter Note 7-related losses by producing more Galaxy S7 units
Originally released back in August, the Galaxy Note 7 could have been Samsung's best selling Note to date (at least according to initial reports). Unfortunately for Samsung, the whole Note 7 affair is a fiasco: last month, after several units caught fire, Samsung recalled about 2.5 million Note 7s in order to replace them with new, safe units. But the replacement devices are still prone to overheating and exploding, so Samsung suspended all sales, and stopped producing the Note 7 altogether.

Naturally, the failure of the Galaxy Note 7 is making Samsung lose a lot of money (billions of dollars). But the company hopes to counter the losses by leveraging the popularity of its slightly older handsets. According to The Korea Herald, Samsung intends to ramp up the production of the Galaxy S7 series (including the regular S7 and the S7 edge), and will also try to sell a higher number of cheaper smartphones - like the Galaxy A8.

The Galaxy S7 is still Samsung's flagship smartphone, and it's been very well received around the world. Moreover, the S7 edge isn't too different from the Note 7 (though it obviously lacks a stylus pen), so increasing production could indeed help Samsung when it comes to Q3 and Q4 profits. Bug we'll see about that later this year.

source: Korea Herald

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