[hugh]

The Unofficial Apple Weblog (TUAW) is reporting that Apple has now deleted discussion threads which talk about Consumer Reports recent decision to not recommend the iPhone 4 to its readers.

On Monday, Consumer Reports said it could not recommend the iPhone 4 for several reasons including the well publicized antenna problem which the magazine says is real.

 

[hugh]

Truth is I don't think this will hurt Apple. They have hot products that everyone is buying and the whole consumer reports thing will blow over in a week.

 

[james99]

Apple takes hit as negative iPhone 4 talk grows louder

SAN FRANCISCO (MarketWatch) -- Apple Inc. saw its shares bruised Tuesday as negative chatter spread about reception problems plaguing the company's iPhone 4 -- and the possibility of a recall of the device appeared to gain currency.

 

[Tezster]

Temporary setback... it'll be back to clear sailing in the short term. I'll bet a great majority of people who are planning to get an iPhone 4 will still get one.

 

[hugh]

Interesting, the CR article certainly seems to have struck a chord. I guess because its deemed by most North Americans as being extremely credible.

I might have been too quick to vote for "Maybe a bit".

 

[Icemann]

I think with CR being credible it's hard to ignore the problem now. This along with the recent trend of a highly reliable brand having problems (Toyota) that there may be a small lingering effect on Apple sales. If they correct this and keep releasing great products like the next gen Touch with cameras I don't think it'll hurt them long term.

But, if they get/stay arrogant and deny problems and continue to have problems with products people will turn on them. It's all in how Apple handles this issue.

 

[North_of_Calgary]

I think Apple has handled it pretty badly: "hold it in the other hand" and "we're just calculating the number of bars wrong".

Actually it's been a pretty bad quarter for Apple. Starting with the lost/stolen/sold to Gizmodo iPhone; then the botched demos at the announcement keynote; a disasterous pre-order period (blamed on AT&T remarkably); and then this reception issue. While we've had Google announce and release Android 2.2; launch of the HTC Evo; this weeks launch of the Droid X; and now it's over 150,000 Android phones activated per day.

I think this may be the beginning of the downfall for the iPhone. Not that it will go away. It will just become one of the many instead of something people consider "special" and "different" (or even "better"). Rewind to 2007 when Steve announced it and said that it was 5 years ahead of any other smartphone, and really at that time (or certainly when the apps store came online a year later) it certainly was. But now there are definite contenders/equals in both hardware and software IMO.

Personally I'm in no rush to upgrade my 3GS with iOS4 for this new iphone. But I like my N1 with FroYo 2.2 much better

 

[Tezster]

After reading up a little more on this issue, I've changed my mind; I think it'll be more than a little blip on the radar as far as Apple's concerned. How big of a blip will depend on whether Apple changes their current 'bury head in the sand' approach anytime soon.

 

[BGY11]

It does seem like everything has gone wrong with the iPhone 4 launch (starting with the Gizmodo leak onwards). Combined with the recent class action suit, it's going to be interesting to see what happens in the near future.

Apple has been burying its head in the sand for quite a while, and is very reluctant to ever admit their devices have a problem (iMac screens yellowing, Time Machine issues, G4 Cube cracks, etc). It was only a matter of time before it would catch up to them on something like the iPhone.

In the short-term, I wonder how this will affect further launches of the iPhone 4. Will Apple hold off in launching the device in Canada and other places, or continue to proceed as if nothing is wrong?

 

[hugh]

I remember when Microsoft was the upstart and people loved them and hated IBM. At some point, MS became the company everyone loved to hate.

I wonder if this could be an inflection point for the colossus called Apple.

Every major tech company seems to be the darling of consumers eye and then something happens (perhaps greed, perhaps arrogance, perhaps something else) and the trajectory starts to go downhill. Apple still has many profitable years ahead of it but you wonder if they will lose the love and become just another tech company.

Having said that Apple has weathered technical glitches before so maybe I'm just over analyzing!

 

[polaris]

Apple was a small fish. Now its the big one, locking down its products.

Google is huge also, but has open policies. Im amazed it released this

http://appinventor.googlelabs.com

Apple will suffer some for this problem. How much, that is not clear. If they can fix the phone with software, then great. But that is unlikely it seems. The phone still seems quite usable, but has a small but significant flaw.

 

[outinthornhill]

Really have to wonder how many iPhone buyers have even heard of Consumer Reports. Or looking at it from another perspective, how many CR readers are potential smart phones buyers. Aren't they more the Birkenstock wearing, keep my 10 year-old flip phone crowd?

This will blow over in a week as the millions of iPhone users who have never had a problem tease their friends with their new toy. Apple may drag out some satisfied customers to do testimonials for the talk shows and ask CR why it changed its opinion from "problem not replicable" to "don't buy this phone" while still rating it the best smart phone on the market. Shouldn't be hard to make CR look pretty silly.

 

[BGY11]

While I don't really know who Consumer Reports' target market is, the ripple effect being caused by it is what worries me. Mainstream media outlets are reporting on the CR story and it's spreading like wildfire. The fact is, the iPhone has been on the market for several weeks already and the reception issue is not going away (it's doing the opposite). It's different from the "AT&T sucks" mantra that iPhone users have been saying since 2007.

Yes, Apple has become the company many people love to hate, but that doesn't mean a legitimate issue is meaningless. This isn't something that can easily be swept under a rug. Apple could include a free bumper with future iPhone 4 shipments, but for those who value style over anything else, they'll take one look at the bumper and say "no way!"

 

[cfraser]

Really have to wonder how many iPhone buyers have even heard of Consumer Reports.

Are you serious? CR practically made Toyota (especially), and Honda, among other "minor" brands.

Apple is mainstream now. Just the opposite of some (mostly by attitude/behaviour) "elitist" group that you seem to be thinking their owners are. There are other products for that now, if the iPhone/iPod/etc. are not technically good enough or too locked-down for you.

CR is a BIG deal in the U.S. for mainstream consumer products. Even when CR doesn't exactly review stuff the way "connoisseurs" do (i.e. A/V gear), they do have a lot of clout and can very much affect the products we *do* get in the mass-marketplace. We in Canada have little clout at all, so just because most of us in Canada *may* not read (U.S.) CR, their say should not be underestimated.

 

[JohnnyCanuck]

Apple's devoted pantheon of myopic lemmings will continue to buy everything the company produces. Make no mistake, Apple makes some very interesting and cool products. But, they also produce products that are questionable in terms of the value proposition that remain inexplicably successful. That speaks to an element of blind customer loyalty and this won't shake that to any significant degree.

 

[cfraser]

^ Agreed.

But generally speaking, CR does have a lot of clout in the U.S., that was my "talking point".

Probably won't affect the desire of people to own Apple's products though. They are slick and physically attractive. Never heard of that turning most people off for much of anything, regardless of other qualities.

 

[Whitecapsfan]

As someone who was looking at buying two iPhone 4's once they are released in Canada, I am now in a wait and see mode.

So two outcomes: first I will be exploring alternatives more closely and secondly I will be watching how Apple handles this (and so far not so good).

 

[Yads]

The actual article still gives the iPhone 4 a higher ranking than any other smart phone. So I'm not exactly sure what CR is trying to say.

 

[prufrock]

As someone who was looking at buying two iPhone 4's once they are released in Canada, I am now in a wait and see mode.

So two outcomes: first I will be exploring alternatives more closely and secondly I will be watching how Apple handles this (and so far not so good).

Exact same situation here. This has -- along with the long delay in announcing a release date -- been very disappointing.

 

[BGY11]

Looks like Apple is set to hold a press conference Friday morning (10am PST). Guess we'll find out what they want to do (and I'm sure hoping it's not to simply provide a free bumper to all iPhone 4 users).