How will 'Antennagate' affect Apple's consumer perception?

By | July 16, 2010, 10:55am PDT

Summary: Apple admitted the iPhone 4 has got an issue with the signal and reception. Do you think the perceptions of Apple have changed negatively as a result of today’s events?

Apple admitted the iPhone 4 has got an issue with the signal and reception. Steve Jobs took to the stage earlier and pointed out quite blatantly where the problem is.

As ZDNet editor in chief Larry Dignan pointed out during the live blog of the event, “perception is everything” (10:06). It’s not necessarily about who is right or wrong, more so how the young, impressionable consumer perceives the company after this public relations screw-up.

Catch up with today’s event on ZDNet’s live blog of the Apple iPhone 4 press conference, as well as MobileCrunch’s coverage which has photos too.

View the ZDNet photo gallery of today’s press conference.

Apple struck a cord with the younger consumer in that they created beautiful, sleek devices which appeal to the materialistic nature of the Generation Y. There is a reason this blog is called the ‘iGeneration’, in that Apple’s effect - whether good or bad - is huge on us.

The press may well have blown this out of proportion, and indeed only 0.55% of iPhone 4 users may have called in regards to reception issues, but it doesn’t matter. Even if Apple had not done anything wrong whatsoever, the CEO cannot stand up at a surprise press conference and say that ‘nothing is wrong’ or by focusing on the similar issues with rival smartphones (10:12).

Even if Apple were completely in the right, they are almost negating the fact they need to maintain their perception of which they have clearly worked so hard to maintain.

They’ll give out a free case for every iPhone 4 and a refund (10:30) if you have already bought a bumper, but it doesn’t seem to make that much difference now. He stood on stage and said, basically, that it’s not us - it’s you, the press and the consumer (10:29).

It feels like being slapped in the face then cuddled and told “it’ll be alright”. Had he skipped the part in the middle about how the press and the consumers have panicked about something that may or may not have been an issue, then perhaps many would have come away from it feeling that they had truly taken care of its consumers.

What concerns me now is not Apple losing out in numbers, or even its direct perception being blown to another degree; it’s how the younger generation of which who have grown up with this technology feel about Apple now. To me, it feels like my parents telling me that, actually, for the last twenty-one years they’ve never loved me.

It’s kinda’ heartbreaking, actually.

How do you feel as a result of today’s press event? Do you think the perceptions of Apple have changed negatively as a result of today’s events? Have your say.

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Topics

Zack Whittaker, a criminologist who studied at the University of Kent, Canterbury, is a journalist, writer and broadcaster.

Disclosure

Zack Whittaker

I worked briefly with Microsoft UK in 2006 but no longer have any connection with the company. Regardless, I remain impartial and unbiased in my views.

I don't hold any stock or shares, investments or industrial secrets in any company, but have signed confidentiality agreements with a number of UK and U.S. organisations, whose names I am not at liberty to disclose.

I was involved with Kent Union, the University of Kent's student union, undertaking voluntary, non-salaried, elected positions between early 2009 and mid-2010.

No other company, body, government department, non-governmental organisation or third sector organisation employs me or pays me a salary in any capacity whatsoever.

As a freelance journalist, whenever expenses are given and taken by a company that is not CBS Interactive, these will be disclosed in each relevant post to ensure transparency.

I currently work with a UK law enforcement unit, but this is an entirely separate position which bears no connection to other work.

(Updated: 23rd October 2011)

Biography

Zack Whittaker

Zack Whittaker, criminologist who studied at the University of Kent, UK, is a journalist, writer and broadcaster.

After studying criminology at university, though still in his early-20's, he has already had a series unconventional work and voluntary positions. He has worked with researchers studying neurological illnesses like Tourette's syndrome (which he suffers from), has given lectures on the nature of disabilities in the public community, and occasionally ends up speaking on television and radio discussing the events of the day.

He first had academic work published at the age of 22, then still an undergraduate, and has been cited by a wide range of publications: from the Huffington Post, Business Insider, AllThingsDigital, The Atlantic Wire and CBS News.

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RE: How will 'Antennagate' affect Apple's consumer perception?
FAULKNE 13th Oct
Good day to confirm this comment I would appreciate T h e b e s t o f Z D N e t d e l i v e r e d your website very nice to everyone Yes, Oracle is the only one with shared-disk architecture, but that is there advantage. It means you can add or remove nodes and the database lives on. In a shared nothing architecture, if you lose a node, you lose the system. I'm sure Oracle appreciates EMC highlighting their advantage.I also desire to signal in your RSS feeds. Thank you as soon as once again and maintain up the great operate Awesome post! Thank you very much || thanks for nice content this is really benefit to me.
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Snow job
Economister Updated - 16th Jul 2010
1. "Bar" comparison: Since the algorithms may be very different, this is a meaningless comparison. If Jobs were sincere, he would do an actual signal attenuation comparison. Why didn't he?


2. "There is no problem. All smart phones have this weakness". "So right now the state of the art of the entire industry is that no one has solved this problem."

Fine.

"But we will give you a bumper case to solve the problem"

Huh? If there is no problem, or a problem that no-one in the industry has been able to fix, how can the bumper case solve it? What if they designed a phone with a built in bumper case, then there would be no problem, right? But that is impossible, because all smart phones have this problem, which cannot be fixed with current technology.

My head hurts.

Like I said, a snow job.
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Two different issues
People 16th Jul 2010
@Economister

There is not problem technically, but there is a problem with perception. Perception is reality. I understand what's going on here.
hell bent on a witch hunt. Reminds me of the Alar scare way back when.
he has single handedly let quite a few against Microsoft over any trivial issue.

Not something as important to a cell phone as an antenna, mind you...
@People wrote "There is not problem technically, but there is a problem with perception"

Oh really? Calls are dropped. That's not perception; it's reality. When holding the phone in a natural position results in dropped calls, there is a problem. Since Jobs now admits that they were aware of a potential problem, why couldn't they have simply moved the antenna to an area where a normal grip would have no effect? That was a technical issue. Hence, this is a technical problem.

Here's an analogy. Let's say some Mac mice were mistakenly manufactured with the button underneath the mouse. You can still use the mouse to move a cursor. You can even use the button by picking up the mouse each time you need to click. Is there a problem? Hell yeah.
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Consumer Reports said problem was real
NameRedacted 17th Jul 2010
@People
And they said the fix offered by Apple was not. They still will not recommend until design flaw is fixed.
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@Economister The free (and refunded) bumpers are PR-related.
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No they are not. Read the CR (nt)
Economister 16th Jul 2010
@athynz

nt
@Economister

They are.
Deal with it.
@Economister
Unfortunately, the RDF is a poor substitute for the Jedi mind trick with the Force behind it.

If it were a common problem, then I would expect my now, nearly 5 year old Motorola A1200 Ming would have similar issues when I held it in my hand using a natural grip. But try as I might, I just can't get it to drop a call using that alone.

I can, however, almost guarantee a dropped call - all I gotta do is call a colleague of mine who has an iPhone or step into an elevator (Faraday Cage).
@Wolfie2K3
Why else had the antenna migrated internally and the case is primarily plastic....
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And instead of fixing the issue they cover it up. Tsk tsk.
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They cover it up
John Zern 16th Jul 2010
with a rubber case?

Was that a Pun LD?
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@John Zern
LOL not intended and didn't occur to me in that way (especially if you knew how I think) but now that you mention it that was pretty funny
@Loverock Davidson

Not only was there a semi-cover up, but Jobs' press conference was unnecessarily defiant, arrogant and frankly, obnoxious. But hey, why not -- that's what a cult of personality does to a person. Much of the conference was self-aggrandizing (we're great, and despite this snafu, we're contributing to the entire industry) and a diffusion of responsibility (all smartphones are like this!).

For those who claim that there was absolutely no cover up, since the issue was known to Apple engineers, why wasn't it mentioned in any of the literature? Why weren't buyers warned that a normal grip can result in dropped calls?
@Loverock Davidson, you said it like it is; just a cover up of the problem. Thanks!
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What we have here is more
People 16th Jul 2010
blowing things out of proportion.
@People yep...and this time by Apple and Steve. Instead of admitting their mistake, promise to make amends and move on, they continue to tell the people that it's their fault and they have been holding a cell phone the wrong way their whole life.
@People
Apple's flawed design is magnified by their even more flawed response.
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Contributr
@People This is what I wanted to draw attention to. We, the press and consumers (let's face it, mostly the press) have really capitalised upon this issue and may well have scaremongered the ordinary consumer - but it does boil down to perception. You're right - in my personal opinion - but I don't think Apple handled this all too well.
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Thanks, Zack
Userama 17th Jul 2010
@zwhittaker
It's refreshing to see a member of the press admit that the press has done a number on Apple. I personally can't fault Steve Jobs for being pissed (probably quite a bit more than he showed in the presentation yesterday) about the piling-on that has been happening with this issue. Based on the data he presented yesterday, I don't understand how Apple could have done any more than they did. The fact is that there is a lot more smoke than fire here.
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Contributr
@Userama (below) Thanks for the comment; I really appreciate what you've said and am glad that you also are balanced and see both sides to this happy
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@Userama

They could have done a lot more.
What they did was minimal and done in a fashion which shows how little they know or realize what this will be perceived as.
Recent responses like this have altered the current trend to the negative.
Any attempt to "right the course" will now be seen as being forced by the user - a bad thing.

The Apple "leader" days are now numbered and counting down. They are about to learn that resting or relying on your laurels is a mistake. Most consumers are brand loyal to a fault. Once they switch, it takes a seriously significant event to change their minds.

There will be many more like me, growing over the coming days, weeks and months - former iphone owners.
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ZDNN is technology's Fox News
HollywoodDog 18th Jul 2010
@People but instead of promoting the Republican party, this blog promotes Microsoft.
This antenna issue is a big nothing, and Zack Whittaker is not the official representative of his generation.
Apple kicked Microsoft's butt in phones, and will continue to do so.
@HollywoodDog

and your point is?
I fail to see the relevance of your post.
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Arrogant Apple Trips over its Own Ego
jpr75_z Updated - 16th Jul 2010
Every company stumbles occasionally with a product, including the all mighty Apple. It's just sad that it took a thumbs down from Consumer Reports to get the senior management at Apple to address the issue. There is a feeling Apple tried to dismiss the problem as a non-issue, and only time will tell how the consumer masses will respond.
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@jpr75_z Based on readings (only) I'm sure Jobs had a very difficult time with Consumer Reports. But I suspect as gets out of the knee pad crowd, stories and public opninion like this may grow, just a fact of being big.
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This is so funny.
spikedstrider 16th Jul 2010
The people making a big deal about it now don't have the phone. Seriously, if owned this phone and it really bothered you, then R E T U R N it. It's that simple. So if you are making a big deal it's because your a moron. I don't even have one and I know that. I can't believe this is even a thing to whine about. I mean if this was the only option and there were no other phones in the world then sure, there is a reason to freak out. If they were saying you can't get your money back then yes complain.They are giving to great options and people still complain. Funny stuff. Look at the red rings and over 6 months of complaints before it was addressed and those failed completely. 22 days is a cake walk. People need to grow up.
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1.7% return rate
frgough 16th Jul 2010
tells you all you need to know. This is a witch hunt against Apple.
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RE: How will 'Antennagate' affect Apple's consumer perception?
erik.soderquist Updated - 16th Jul 2010
@frgough

is it really?

i'm stuck supporting a client with iPhones, who have flatly refused to return them when they were proven to be worthless, because they were more concerned with their appearance to their clients than being able to use the iPhone. their answer: blackberries on verizon to actually communicate, and the iPhone nicely visible for its "cool factor".

but they still want me to make it work, so because of the contact i have, i'm stuck on the phone with at&t weekly about iPhone coverage.

amusingly enough, a piece of scotch tape has been enough of a work around that the iPhone 4 has had the best reception of any of the iPhones i've supported for this client. (still planning to drop the cell phone clause at next contract renewal, they were a purely blackberry/verizon shop when the initial contract was signed)

-- edit to correct spelling
@frgough
1.7% of iPhone users were affected by the antenna issue.

0.01% of North American Windows users were affected by Conficker.

You keep saying that this iPhone issue wasn't widespread yet you and all your Apple zealot compatriots kept saying how big of a deal Conficker was.

Cue the double standards...
@frgough

because they were more concerned with their appearance to their clients than being able to use the iPhone. their answer: blackberries on verizon to actually communicate, and the iPhone nicely visible for its "cool factor".

Interesting....not for the fact that your clients had issues but that iPhone has finally taken over the "important status" spot from BlackBerry. Interesting. wink

@Zealot

WTH is this Conficker and why do you hold on to such issues. Let it go man.
WTH is this Conficker and why do you hold on to such issues. Let it go man

Nope, I'm going to keep bringing it up as a beautiful, wonderful, perfect example of how this is karma coming back to annihilate you. happy
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@NonZealot Two things... first, what does a WINDOWS virus/ trojan have to do with the iPhone? Completely off topic there old boy.

Secondly - You've admitted that this issue is overblown... are you going back on that? Just when progress was made to correct the Anti Apple zealotry?
@athynz
first, what does a WINDOWS virus/ trojan have to do with the iPhone? Completely off topic there old boy.

Nothing. The reaction to said event, however, is very relevant to the reaction to this event. Conficker was a tiny issue that affected a tiny fraction of a percent of North American computers. The Internet echo chamber made it seem like the sky was falling and that everyone should immediately switch to Macs that "just worked". The exact same thing is going on here except this time, Apple is the #1 company. Like Jobs just said, it is human nature to want to see the #1 company fail. That used to be MS. It is now Apple. Suck it up fanboy!!

You've admitted that this issue is overblown... are you going back on that?

athynz, I can tell you are an intelligent guy so your last couple days of posts have really been out of character for you. Where did you see in my post where I've gone back on anything? Nowhere in my post do I suggest that the iPhone issue isn't overblown. What I am saying is that the Conficker issue was overblown by the exact same people who are now whining and complaining that it isn't fair or right or good that Apple is being picked on. Karma baby, karma!!! happy
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Contributr
@frgough Maybe it's difficult to actually return the iPhone? I know two people who managed to, but one of them had a right ruccus in trying to return it. Because Apple hadn't admitted a fault at that point - he couldn't prove that the device was faulty. The O2 store where I live (who provided the phone) were not all that helpful.
@zwhittaker

Fortunately or unfortunately I have found being a Premier customer generally results in significantly less bs.
@spikedstrider You sound just like Steve. Bring out the RETURN IT quote, bash the competitor and tell people it's their fault. You sure you're not Steve?

RETURN IT?
Is AT&T going to give the returnee their unlimited data plan back since most upgraders were previous iphone users with an unlimited data plan? No one seems to be addressing this question. If the answer is YES then I'm all for RETURNING IT.
@Yax_to_the_Max
Very good question indeed, and I don't think AT&T will keep you on unlimited rolls anymore.
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Contributr
@NonZealot I think you have a point - to some extent. Though, it's not about being a "fanboy" - not at all. In one way or another, the vast majority of us have some investment in Apple - past, present or future. I think the future element of this will be interesting to see.
@Yax_to_the_Max

They will and do.
Some unscrupulous sales folks will try to play you into taking another plan.
Take a look at the AT&T facebook page - they spell it out for the user.
@Yax_to_the_Max

So long as the phone you are changing to after you return the iPhoen 4 is another smartphone the answer to your question is 'yes'
@spikedstrider
Have to agree; most of these people have never owned an iPhone, and don't know anything about the issue other than what they've read in the blogosphere. "Perception is everything" only to those who care about perception, meanwhile those of us who actually own iPhone 4's (99.45% of us anyway) are just going about our lives, enjoying USING our phones for actual calls, not having issues and wondering what all the YAPPING is about. wink
@jwlarson61

Nice number.
Care to back it up?
Been on iPhone since 3G.
Now I am on Android (Nexus One).

If you have no issues: hats off to you.
@spikedstrider I don't have one either but I do have three comments:

1) It wouldn't be such a big issue if Apple doesn't rely on bombastic presentations to introduce their products. When you have the reputation for perfection that Jobs has, and you hype up your product, and you make people pay premium prices, the expectations are deservedly high. More than any other company that I know of, Apple relies on a cult of personality (Steve Jobs) and massive cultural awareness to push their products. Ergo, any mistakes will be proportionately overblown.

2) Today's press conference was a joke. Jobs was unnecessarily arrogant. Instead of focusing on the issue, he used it to aggrandize Apple (i.e. we're working our *sses off, and even with this problem, we're contributing to the industry) and diffuse responsibility (i.e. every smart phone has this problem!). The latter is especially obnoxious because its customers didn't buy any other smart phone, they paid for an iPhone 4. And frankly, my Treo didn't drop calls from a normal grip so JObs is wrong.

3) You're being simplistic. It's not just a matter of getting a refund. First of all, many of these first adopters went through a lot of trouble to get the first models, i.e. lining up for hours in the heat. Second, in this economy, waiting a few weeks to see the refund on your credit card can be a problem for some -- especially if they must also buy a replacement phone. Third, who is going to pay to reactivate their old iPhones (or whatever brand they were using)? What if they already gave away or sold the old phone? Apple has not addressed any of this. You may not know it but many of us are going through a heat wave, and traveling to an Apple store for a refund is not in my pleasure schedule.
@spikedstrider, very well said!
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Contributr
@pubillones I agree. +1 !
@spikedstrider

I did.
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I think Apple acted responsibly...
BlowingSnow 16th Jul 2010
Because they studied the problem, admitted they weren't perfect, and came back with an appropriate response. Except for Mr. Jobs' inopportune remark, they didn't respond with a kneejerk denial. I have an iPhone 4 and it is by far the best iPhone I've ever had (after the 2G and 3G). I have a case on it and reception is better than the 3G in the real world. I'm not returning it. And, jeez Zack, stop whining.
@BlowingSnow First off, there are phones that don't suffer from this problem so saying it happens to everyone is not true. Second, even if it were true, Apple is marketing it's products as premium devices that are qualitatively better than the competition. So this argument becomes even less acceptable for them.
Good day to confirm this comment I would appreciate T h e b e s t o f Z D N e t d e l i v e r e d your website very nice to everyone Yes, Oracle is the only one with shared-disk architecture, but that is there advantage. It means you can add or remove nodes and the database lives on. In a shared nothing architecture, if you lose a node, you lose the system. I'm sure Oracle appreciates EMC highlighting their advantage.I also desire to signal in your RSS feeds. Thank you as soon as once again and maintain up the great operate Awesome post! Thank you very much || thanks for nice content this is really benefit to me.

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