Azernews.Az

By Bloomberg

Russia’s largest handset retailers Euroset Holding NV and Svyaznoy said they stopped buying Samsung Electronics Co. smartphones, citing concerns over defective units and disagreements over repair guarantees.

Euroset, co-owned by Russian wireless carriers PJSC MegaFon and VimpelCom Ltd., suspended purchases in May, Chief Executive Officer Alexander Malis said by phone. “The volume of defective units surged, our customers were unhappy, and Euroset had to bear repair costs,” he said.

Svyaznoy stopped ordering Samsung phones and tablets in June and keeps selling what’s left of previously bought batches, spokeswoman Maria Zaikina said by phone. Samsung’s share of smartphone sales in Russia may have dropped by 25 percent over the recent month, according to Svyaznoy estimates.

Samsung “remains committed to providing the best possible products for Russian consumers,” the company said in an e-mail. It declined to comment on its relationship with Russian retailers.

Samsung sold $1.46 billion worth of smartphones to Russia last year, accounting for about 23 percent of the value of smartphone sales in the country, researcher IDC estimates.

Products from Apple Inc., Lenovo Group Ltd. and others are replacing Samsung in sales, Euroset’s Malis said.