Today’s press event brought with it a tremendous amount of anticipation in regards to how Apple would handle the issues surrounding the iPhone 4. The most prominent of these issues is the abrupt drop in reception some users are experiencing when holding the phone in a certain manner. While the actual number of effected users is not entirely comprehensible, in recent weeks the hype around this issue has disseminated through many mainstream channels.
Steve Jobs took the stage at 1 Infinite Loop this morning alongside Tim Cook and Bob Mansfield to take on what some analysts are calling a PR crisis. The event began with a comparison of the iPhone 4 to other leading smart phones in terms of reception characteristics. Utilizing several videos, Jobs demonstrated phones including the BlackBerry Bold 9700 and the HTC Droid Eris rapidly dropping signal bars when gripped in an ordinary fashion.
Jobs next proceeded to share statistics indicating, in his opinion, how overblown the reception issue really is. Statistically Jobs claims the iPhone 4 drops less than one call more than the 3Gs per 100 calls. Supplementing this statistic, Jobs cited that only 0.55% of iPhone 4 customers have contacted Apple about the issue. A final statistic showed that 1.7% of iPhone 4 customers have returned the phone compared to the 6% which returned the 3Gs.
While these statistics seemed both accurate and justified, one burning question remained: What is Apple going to do to resolve the situation? In addition to releasing iOS 4.0.1 which remedies the amount of bars displayed by the phone, Jobs announced the following steps Apple will take to insure customer satisfaction:
Apple will supply all existing and new iPhone 4 customers with a free case through the end of September. As Apple apparently cannot manufacture their 1st party bumpers fast enough, they will be offering a selection of 3rd party cases to supplement their own. Apple will also refund any case purchases made through them prior to this announcement.
Apple will take undamaged iPhone 4’s back within thirty days for a full refund and without a restocking fee or contractual change with AT&T.
As cases such as the bumper almost fully resolve any signal issues, Apple seems confident this move will placate customers and the negative press engulfing the product. At this time, Jobs did not indicate whether or not changes to the actual hardware/design of the phone would be made. Addressing additional concerns, Jobs confirmed that measures are being taken to fix the proximity sensor issues some users are experiencing. He also confirmed, while in limited quantities, the appearance of the elusive white iPhone 4 by the end of the month.
After these announcements, the presentation segued into a question and answer session featuring Jobs, Cook, and Mansfield. Jobs while maintaining his frank and no-nonsense persona seemed simultaneously honest and humble to the situation. Cook, Mansfield, and Scott Forstall assisted Jobs in fielding questions from the press.
This event could have played out in a number of different ways. Though some predicted a full blown product recall, many suspected a free case or a store credit would be offered in compensation instead. Though the omission of an announcement of a slightly redesigned device is a bit surprising, more details will likely ensue in the coming weeks. Apple has posted today’s press conference here, and a page on smartphone antenna performance here. If you have thoughts or comments you’d like to share on Apple’s handling of the situation, or your own iPhone 4 experience, please feel free to comment.