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  1.    #1  
    Hi all,

    It seems I am not the only one, who feels Apple needs to address this more clearly, as it is started to get away from them.

    Take care,

    Jay

    Apple's iPhone 4 antenna flap: Overblown, hubris or simple testing mistake?
    By Larry Dignan | July 14, 2010, 5:22am PDT

    Apple's iPhone 4 antenna flap: Overblown, hubris or simple testing mistake? | ZDNet

    Summary
    The iPhone 4 antenna issue becoming a major headache for Apple, but larger questions remain. Is Apple too cocky, handling a skirmish with Consumer Reports well or in denial about overlooking a design flaw in its testing?

    With the iPhone 4 antenna issue becoming a major headache for Apple, analysts are busy handicapping the costs of a potential recall, which observers like Piper Jaffray analyst Gene Munster deem “highly unlikely.” But the larger questions are whether Apple is too cocky for its own good or handling a skirmish with Consumer Reports properly since the antenna flap may be overblown.
    In recent days, it has been an interesting duel between Consumer Reports and Apple. Apple has admitted that there is an antenna reception problem on its iPhone 4, but told customers that the fix is to hold the phone the right way—when you touch the antenna, reception dies. Consumer Reports and other testers have documented signal degradation when touching the lower left portion of the device, bridging the iPhone’s antennas. A bumper case (right) fixes the problem.

    Consumer Reports verified that there’s a hardware issue and has called on Apple to fix the iPhone 4. Duct tape seems to help.

    Simply put, Consumer Reports says “we think it’s the company’s responsibility to provide the fix—at no extra cost to consumers.” Typically, Consumer Reports’ recommendations are gold and companies don’t mess with the publication’s findings. In most cases, product companies respond to the concerns in an open and public fashion. Every once in a while Consumer Reports is off, but it’s track record is solid.

    Apple hasn’t given much of a response. After all, it’s still moving a lot of iPhone 4s. Macquarie analyst Phil Cusick says in a research note:

    While we do not see any evidence of a slowdown in sales and our checks indicate almost no returns, the antenna issue could become a public relations problem and potentially impact Apple’s sterling brand image.

    In the meantime, analysts have been handicapping the costs of a recall or providing a bumper case free of charge. Bottom line is that the expense is negligible. To wit:

    Piper Jaffray’s Munster says Apple could give away bumper cases that it sells for $29. Giving away a case for free at $5 each would run about $178.5 million for every iPhone 4 over the next year. That equates to 1 percent of operating income.
    According to CNet News, Bernstein Research analyst Toni Sacconaghi pegs a recall at $1.5 billion. Like Munster, Sacconaghi says that a recall isn’t likely.
    The cheapest option for Apple is to do nothing. Munster explains:
    A second is option is for Apple to do nothing; as we’ve mentioned, we estimate that only 25% of iPhone users are periodically affected by the issue, and Apple could weather the storm by letting the current demand for the iPhone speak for itself.

    Delivering bumper cases would be the easiest option. Apple could keep customers and Consumer Reports, which accounts for a lot of word-of-mouth marketing, happy. The issue here is that Apple would have to admit there’s a real design problem with the iPhone 4.

    That brings us to the hubris issue. Sacconaghi says that Apple’s limited disclosure about Steve Jobs health, the attack on Adobe’s Flash and skirmish with Gizmodo over a lost iPhone add up over time. Meanwhile, Apple’s argument that customers need to hold the iPhone 4 a different way doesn’t go over well.

    Munster isn’t so sure. He thinks the iPhone 4 flap is overblown. In fact, Apple probably just made a testing mistake. Munster notes:

    We believe Apple field tests every iPhone model. However, recall that the lost iPhone 4 prototype was disguised as an older model iPhone with a case. Given its proclivity to secrecy, it is possible that Apple required all test units to have a case, which would render the issue undetectable. In other words, Apple may never have known the problem existed on test units in the field because they all had cases on them.

    At this juncture, there are good arguments to be made for all sides. Apple can be too cocky. The iPhone 4 flap could very well be overblown. But it’s clear that Apple needs to do something. Risking a brand over what could be fixed with a case doesn’t make a lot of sense.
    Please Support Research into Fibromyalgia, Chronic Pain and Spinal Injuries. If You Suffer from These, Consider Joining or Better Yet Forming a Support Group. No One Should Suffer from the Burden of Chronic Pain, Jay M. S. Founder, Leesburg Fibromyalgia/Resources Group
  2. #2  
    Hey Jay,

    I like your sending us news articles, but can you stop copy/pasting entire articles here? A link, followed by whatever commentary you have on the story would be great. Quoting pieces is cool, too. A dump of the full web page is not.

    TIA,

    -- KSU
    : (){:|:&};:
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    #3  
    It seems I am not the only one, who feels Apple needs to address this more clearly, as it is started to get away from them.
    Why would you feel that Apple needs to address this? Do you have any skin in the game? Do you own an iPhone? How are you affected?
  4. #4  
    Quote Originally Posted by genearch View Post
    Why would you feel that Apple needs to address this? Do you have any skin in the game? Do you own an iPhone? How are you affected?
    It is called a general analysis of the situation and a comment. Like when people say BP needs to clean up the oil spill even if they live in NY or the other side of america. Get it, or you still not understanding?

    Why do you feel the need to attack individual for displaying an opinion?
    More to the point why do you even use precentral?
  5. ogeneo's Avatar
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    #5  
    Quote Originally Posted by pip smith View Post
    It is called a general analysis of the situation and a comment. Like when people say BP needs to clean up the oil spill even if they live in NY or the other side of america. Get it, or you still not understanding?

    Why do you feel the need to attack individual for displaying an opinion?
    More to the point why do you even use precentral?
    Look at my join date there pal... I've been a Palm supporter for a decade now. Can you say the same newbie?

    I am a Pre owner as well, but the Apple bashing to make yourself feel better gets old.
  6. tirk's Avatar
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    #6  
    Quote Originally Posted by pip smith View Post
    Like when people say BP needs to clean up the oil spill even if they live in NY or the other side of america. Get it, or you still not understanding?
    I love these analogies! The other one I keep seeing is the Toyota brake problem...

    I don't really think the odd dropped call is really in the same league as a large oil spill, or a major safety issue with a common vehicle!

    (I also note that iP4's are going for above cost price on eBay, which suggests to me that the issue isn't as big as some people think)
    PalmPilot Professional...Palm Vx...Treo 600...Treo 680...HTC Touch HD...iPhone 4S...
  7. #7  
    Quote Originally Posted by genearch View Post
    Look at my join date there pal... I've been a Palm supporter for a decade now. Can you say the same newbie?

    I am a Pre owner as well, but the Apple bashing to make yourself feel better gets old.
    You own a pre??? Do you use it or not? All you seem to do on here is deny that apple has flaws. And what does it make a difference to whether I am relatively new to this forum or not, that doesn't say much about my mobile habits?

    Would you like to point to one of my comments where I have bashed apple?
  8. #8  
    Quote Originally Posted by tirk View Post
    I love these analogies! The other one I keep seeing is the Toyota brake problem...

    I don't really think the odd dropped call is really in the same league as a large oil spill, or a major safety issue with a common vehicle!

    (I also note that iP4's are going for above cost price on eBay, which suggests to me that the issue isn't as big as some people think)
    Did I say they were in the same league?
    What I am saying is that everyone likes to assess a situation and give their own opinion on it whether it directly effects them or not.
  9.    #9  
    Quote Originally Posted by knobbysideup View Post
    Hey Jay,

    I like your sending us news articles, but can you stop copy/pasting entire articles here? A link, followed by whatever commentary you have on the story would be great. Quoting pieces is cool, too. A dump of the full web page is not.

    TIA,

    -- KSU
    Hi

    Funny thing is, when I post only a portion of an article, people tell me it is too much work, having to use the link, (or they have too many open windows on their monitor). That is why I post the ENTIRE article, I do give a link in case people want to see the article in it's correct context!

    Take care,

    Jay
    Please Support Research into Fibromyalgia, Chronic Pain and Spinal Injuries. If You Suffer from These, Consider Joining or Better Yet Forming a Support Group. No One Should Suffer from the Burden of Chronic Pain, Jay M. S. Founder, Leesburg Fibromyalgia/Resources Group

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