| SAN FRANCISCO
SAN FRANCISCO Oct 10 Apple Inc's stock
on Monday jumped 2.2 percent, reaching a high not seen since
December, after rival Samsung Electronics Co Ltd
suspended production of its flagship Galaxy Note 7 smartphones
following reports of fires in replacement devices.
Fires in the smartphones that were meant to replace devices
that had been recalled because of their propensity to explode
could be a disaster for Samsung and a potential boon to Apple.
Apple's stock was up 2.2 percent at $116.59 in afternoon
trading and was the largest contributor to gains on the S&P 500.
Earlier, Samsung's stock dipped 1.5 percent.
Samsung's ongoing problems suggested the world's largest
smartphone maker has failed to fix a problem that has already
damaged its brand and threatened to derail a recovery in its
Following the reports of fire in replacement devices,
Verizon Communications Inc, AT&T Inc and other
wireless carriers suspended sales and exchanges of Note 7s.
Best Buy Co Inc will no longer sell the Note 7 and
said customers could return their smartphones or exchange them
for a different device.
Apple's stock has gained 13 percent since mid-September on
optimism about demand for the recently launched iPhone 7.
Shares are up 30 percent from lows hit in May, when fears
about weak iPhone demand allowed Google parent Alphabet Inc
to briefly eclipse Apple as the world's largest
company by market capitalization.
Samsung is the world's largest seller of smartphones by
volume, with about 23 percent market share, followed by Apple
with 12 percent, according to market research firm IDC.
(Editing by Jeffrey Benkoe)