The sales of Apple’s iPhone 7 are expected to rise given the disaster brought about by exploding Samsung Galaxy Note 7.
— LATE NIGHT G (@richard_pansa) September 12, 2016
Industry analysts pegged the cost of Samsung's recall program worldwide to $1 billion. But it could be much higher if the Korean smartphone manufacturer fails to recover from brutal headlines in around the world.
In an interview, industry analyst John Donovan of BlueFin told Buzzfeed that Apple could raise it sales as Note 7 defects has left the iPhone maker "primed to swoop in and take full advantage."
Following the advisory of the U.S. Consumer Product Safety Commission, urging users to power down and return their Note 7 units, Samsung has wiped about $25 billion off its market value.
"If a customer is going out to buy a phone, they're going to buy an iPhone 7, not a Note 7," said Mark Newman as quoted by CNN, a Bernstein analyst who covers Samsung.
"If they really fumble and this whole thing goes on longer and there's more stories and more bad press, it could possibly hurt their reputation and their sales next year. That fear factor is driving the shares down," said Newman.
CNN reported that shares of the world's biggest smartphone maker plunged by 7 percent Monday after the company told owners of Note 7 to stop using the devices.
Several airlines have told customers to not fly with their Note 7s charged or even on during the flight.
In the Philippines, all three airline companies operating in the country issued announcement preventing passengers from flying with their Note 7.
