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Irregular-sized batteries caused Samsung's Galaxy Note 7's to catch fire

CNBC logo CNBC 23/01/2017 staff
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Samsung Electronics (593'A-KR) identified irregularly sized batteries caused some of its Galaxy Note 7 handsets to catch fire last year, which led to the series being permanently discontinued from production, according to the Wall Street Journal.

The Journal reported, citing people familiar with the matter, that batteries from Samsung SDI (640-KR) did not fit properly in the phone, while those from ATL had manufacturing issues due to the quick ramp up in production to fit into the replacement phones, the Journal reported.

The South Korean giant is set to release the findings of its investigations on Monday at a press conference later on Monday, a day ahead of full-year earnings.

The problems with the Galaxy Note 7 began just days after its launch in August, when reports emerged that handsets caught fire related to an overheated battery. In early September, Samsung issued a recall of 2.5 million handsets in 10 markets, according to Reuters.

Shortly after the replacement devices began rolling out, fresh reports of those devices catching fire surfaced, which ultimately led the South Korean giant to permanently discontinue the line.

Samsung had said it expected to book an operating loss of over $5 billion spread over the last two quarters of 2016 and the January-March 2017 quarter.

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