Samsung to Pay Millions to Settle Lawsuits Over Mass LCD TV Failures
Problems affected a multitude of users, some several times; Samsung will off up to $300 USD in reimbursement
It would be fair to say that Samsung's display business has some serious issues.
While Samsung Electronic Comp., Ltd. (KS:005930) outsold its rivals in 2011 in both the flat-panel segment and the 3D-TV sub-segment [source], it also hemorrhaged $900M USD. The company is currently in the midst of spinning off its LCD panel manufacturing TV business -- which ironically it just expanded via buying out a joint stake in its display partnership with Sony Corp. (TYO:6758). The deal is set to wrap up on April 1, creating a new wholly owned subsidiary of the Samsung conglomerate dubbed "Samsung Display Company". The spinoff is expected to unshackle Samsung Electronics from the losses, allowing it to aggressively pursue OLED technology development.
I. Persistent Failures Strike Numerous Samsung TV Buyers
But even aside from the balance sheet, Samsung has serious issues to contend with, despite its sales success. The company has just announced details of a class action settlement with consumers over its use of less-expensive failure-prone capacitors.
The failures were sweeping. DailyTech first covered this issue in an early 2011 piece, after both hearing numerous first hand accounts of failures at CES 2011 and reading yet more accounts of failures on Amazon.com, Inc.'s (AMZN) user reviews section. While anecdotal, these stories painted a disturbing picture.
Full article at:http://www.dailytech.com/Samsung+to+...ticle24065.htm