Analyst: iPhone 4 Antenna Problems Present ‘Risks’ For Apple

Analyst: iPhone 4 Antenna Problems Present ‘Risks’ For AppleApple iPhone sales expectations could be at risk if Apple’s current problems with the iPhone 4”s antenna increases, one analyst warned investors Tuesday. “Should this antenna issue become a bigger deal, there could be risk to our as well as consensus estimates,” Kaufman Bros. analyst Shaw Wu wrote.

However, the analyst reaffirmed his estimate of 7.5 million iPhones sold in the June quarter and 40 million for calendar 2010. “So far, in our supply chain and industry checks, we have not seen any change in build patterns or demand patterns,” he added.

Monday, Consumer Reports failed to recommend the iPhone 4 due to reception problems. The announcement set off a flurry of activity, ranging from reports Apple censored discussion of the failure to talk a product recall was ‘inevitable.’

Wu believes the tide of bad news for Apple could be stemmed by simply discounting or giving away bumpers that prevent the reception trouble. Reportedly, the Cupertino, Calif. company has instructed AppleCare support workers they are not “appeasing customers with free bumpers.”

Earlier this month, Apple announced the problem was a software glitch giving users a mistaken impression they had a stronger signal than the iPhone 4 actually received.

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[AppleInsider]

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Ed Sutherland

Ed Sutherland is a veteran technology journalist who first heard of Apple when they grew on trees, Yahoo was run out of a Stanford dorm and Google was an unknown upstart. Since then, Sutherland has covered the whole technology landscape, concentrating on tracking the trends and figuring out the finances of large (and small) technology companies.

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  • John T

    “one analyst warned”

    One.

    Apple has already offered refunds to any unhappy customer, NQA. Any hard, non-anecdotal data on how many – out of the millions sold – have actually been returned?

    Until there’s some hard, believable numbers, this story and all others like it are just dirty, annoying smoke.

  • John

    I agree with the analyst, but would also like to point out that Apple more than likely rushed the IPhone 4 into production because of the stollen iPhone incident. If I were apple I would send a coupon for 25% off any case or bumper purchased through Apple (in store or on-line), as an act of good faith.

    As a satisfied IPhone user (3GS) and an engineer, I decided to wait on upgrading because of the stollen IPhone incident. However, I am very displeased with Apple’s response to this issue.

    I now question if these decisions are still being made by Steve or by someone else due to Steve’s past health issues.

  • Ryder TJ

    Why is this still even a story. Recall? Obviously these types of stories are being fanned by the ever present Mac haters, who I will never understand. Or perhaps I am the only poor (financial-wise) person in the world who ever buys high tech items. Cause when I do, I always buy a case to protect my investment, as I cannot afford to spend big bucks on an item that could be dropped and damaged. And guess what, when one puts a case on their phone, the “recall problem” goes away. So again, why is this even being discussed. Buy a freaking case and get on with yer life.

  • james

    Ryder,

    You’re misssing the point. If I choose not to use a case with my 700 dollar phone and expect it to work, it should damn well work.

    Fix the problem. Whatever it takes. Bottom line.

    Jim

  • Tim

    Jim, do you even have an iPhone 4? If you did, you would know that the antenna problem isn’t really a big issue. and Apple already announced they are coming out with a software fix for the few percent of users who are having the problem. read the truth, http://www.macdaddynews.com/?p=4784

  • DaveW

    This antenna ‘problem’ is blown way out of proportion.

    – it only affects only a small number of people. Most reviewers including Consumer reports originally couldn’t replicate it. Most actual owners (instead of Apple haters who spout without even seeing an actual iPhone 4 much less use one) say they get BETTER reception with the 4 than 3GS.

    – various antenna experts have questioned the non scientific tests done (including that of consumer reports) to ‘demonstrate’ the problem
    Example : http://mobileanalyst.wordpress.com/2010/07/12/iphone-4-report-consumer-reports-study-is-full-of-crap/

    – see all the videos of other phones having ‘antenna’ problems when you cover the bottom. There are warning in various Nokia phone manuals for example : “Your device may have internal or external antennas. Avoid touching the antenna area unnecessarily… contact with antennas affects the communication quality”

    – even Consumer Reports who say they ‘can’t recommend’ rank iPhone 4 as the best phone they’ve reviewed.
    They suggest that anyone with the issue can get a case or use a piece of tape to cover the gap (the one cent solution).
    The whole ‘problem’ for those few (percentage wise) who have the issue can be solved with a piece of tape or a case!
    Think about the numerous problems other phones have, like many Android phones having poor sensitivity or misaligned screens (see robot arm tests), app crashes or short battery life. Try fixing THOSE problems with a one cent solution. But Apple being Apple gets blasted while almost everyone gives competitor phones a free pass.
    Apple has also said anyone can return the phone if they want without a restocking fee. So what is the big deal?

  • http://www.lugaresdemexico.com/ SiliconTlaco

    Mi iPhone 4 NO tiene ningún problema de señal ya lo tape por todos lados y no pierdo nunca la señal, entonces? que dicen a eso? Para mi que es pura mala publicidad.