1. Inhalt
  2. Navigation
  3. Weitere Inhalte
  4. Metanavigation
  5. Suche
  6. Choose from 30 Languages

Business

Samsung to compensate suppliers

South Korean industry giant Samsung has announced it will compensate suppliers for costs related to the discontinued Galaxy Note 7 smartphone. Most beneficiaries of the move will be overseas.

Samsung Electronics said Tuesday it would compensate component suppliers for the discontinued Galaxy Note 7 smartphones and consider giving them orders for other models to cushion the blow.

The South Koreans said they would fully pay for unused Note 7 parts that had already been manufactured. They added they would also compensate suppliers for unfinished components and pay for materials bought to make Note 7 parts.

"Samsung will determine the inventory levels for the partner companies and carry out compensation quickly," the firm said in a statement without specifying just how much it expected to pay.

Ban during flights

Though most of the smartphones have been manufactured overseas, Samsung has also been a key customer for many domestic producers, prompting government and central bank officials to voice concerns about the wider economic impact of the Note 7 crisis.

Watch video 01:14

Samsung races to wrap up recall

The world's top smartphone maker last week permanently ended sales of the fire-prone Galaxy Note 7, less than two months after its launch.

Many airlines have since banned Note 7 phones from flights in response to numerous reports on the device catching fire.

The latest carriers to join were ANA and JAL of Japan. A Japan Airlines spokesman said travelers had been informed about the move, adding that passengers who did not stick to the ban would see their smartphones confiscated.

hg/jd (Reuters, AFP)

 

DW recommends

Audios and videos on the topic