Samsung considers compensation program, LG batteries for future

The Galaxy Note 7 has truly shaken Samsung to its core. And those who think that the ripples are limited only to its mobile business, they better think again. There was even one report of a misbehaving Samsung smart washing machine. The company, however, has no choice but to try and move forward, and its next steps will determine whether consumers will retain confidence in the brand. Some of those steps, according to sources, include offering disgruntled Galaxy Note 7 owners some compensation as well as using LG Chem's batteries for the Galaxy S8.

At the height of the exploding Galaxy Note 7 fiasco, it was reported that the problematic batteries come from Samsung's own Samsung SDI arm. Samsung never officially confirmed that speculation and, given the explosions that followed after the first recall, it seemed that even the batteries sourced from Chinese company ATL weren't safe.

Moving forward, Samsung has no choice but to use someone else's batteries for future products. It won't be able to simply claim that its battery issues are already fixed, as that was clearly not the case in the second, supposedly fixed, batch of Galaxy Note 7s. Consumer confidence in a Samsung device might only be restored if they learn that the battery inside isn't from Samsung, or ATL for that matter. Given that LG is the closest option, Samsung might indeed have to resort to its rival for help.

That might not be enough, however, especially with the specter of class action lawsuits looming over Samsung. Samsung is already offering minimal compensation in the form of discounts or vouchers for those who turn in the Galaxy Note 7. However, there are still a good number of those who refuse to let go, either because of loyalty, posterity, or because there is no better compensation offer on the table.

Samsung has so far refused to compensate users whose properties were damaged because of fires caused by the wayward smartphone. But it might be legally obliged to do so, if lawsuits prevail. Paying for damages and giving back more money are definitely on our list of things Samsung must do if it wants to still be taken seriously in the smartphone market.

VIA: Korea Herald (1), (2)