Samsung Galaxy Fold Disaster Follows The 60% Q1 Profit Drop

After a shocking 60% drop in profits by Samsung as reported by FT, woes for this tech giant have continued.

The Samsung Galaxy Fold is a $2,000 device that has been released to the market not too long ago, but unfortunately, it managed to highlight some pretty serious issues in a scandal that has been dubbed #peelgate, as reported by CCN.

Samsung Group is the biggest conglomerate in South Korea, and it represents some of the largest companies in virtually every imaginable sector.

These include insurance, car manufacturing, credit card, biologics, display manufacturing, and financial services.

It’s important to note that when Samsung revealed that its operating profit dropped by 60% in Q1 2019, which surprised many investors, the stock price of Samsung dropped by about 3.5%.

On the other hand, the public image of Samsung as the leader in the smartphone industry and innovation will probably deteriorate even more after #peelgate – a scandal which may severely affect the performance of Samsung Electronics in 2019.

All of this may happen despite the technological breakthrough that the company made this year.

The launch of Galaxy Fold

For the tech giant, the launch of the Galaxy Fold device which has been long awaited from 2018 as a massive breakthrough in the phone industry was an extremely important event.

CCN also writes that Huawei had stolen some of Samsung’s allure when they released their foldable device.

But, the reported problems in the folding tech of Huawei’s phone led to an even more increased interest in the Galaxy Fold.

The Galaxy Fold comes with issues 

The Galaxy Fold, on the other hand, comes with its own issues.

As soon as the protective layer of the device, which users could mistakenly consider it as a normal screen protector, was removed, the phone began showing signs of a malfunction.

“The protective layer is part of the display structure designed to protect the screen from unintended scratches. The main display of the Galaxy Fold is made with a new, advanced polymer layer and adhesive that is flexible and tough enough to endure repeated folding actions. Because the main display is made with polymer, the extra protective layer is in place to guard against impact. It’s built into the display which is why it should not be removed by force,” Samsung reportedly said.

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