We have already seen a bunch of fake iPhones which have been produced in China, and now a counterfeiting ring has been arrested by Shanghai China, and the group was found to be using actual Apple components to produce their fake iPhones.
Around 200 fake iPhones were received in the raid, and when they were looked at more closely, they were found to contain actual Apple components, and were hard to tell apart from the real iPhone.
The cost to make one fake iPhone, which used some genuine parts, was around 2,000 yuan ($313). It was sold on unauthorised markets and on the Internet for around 4,000 yuan, only a few hundred yuan cheaper than the real iPhone, the newspaper said. The fake iPhones had the same functions as the genuine ones but had a shorter battery life, it quoted the police as saying.
It does make you wonder how the counterfeiters got their hands on the genuine Apple components, they must have come from one of Apple’s suppliers.
The Growing Issue of Counterfeit Electronics
Counterfeit electronics have become a significant issue in recent years, not just limited to smartphones but extending to various other gadgets and devices. The sophistication of these counterfeit products has increased to the point where even experts find it challenging to distinguish between genuine and fake items. This poses a considerable risk to consumers, who may unknowingly purchase substandard products that could fail or even be dangerous.
In the case of these fake iPhones, the use of genuine Apple components adds another layer of complexity. It suggests that the counterfeiters have access to a supply chain that includes legitimate parts, raising questions about security and oversight within Apple’s manufacturing and distribution networks. This incident underscores the need for more stringent controls and better tracking of components to prevent them from falling into the wrong hands.
Economic and Legal Implications
The economic impact of counterfeit electronics is substantial. Companies like Apple invest billions in research and development, marketing, and quality control to produce their products. Counterfeiters undermine this investment by selling fake products at a lower price, which can erode brand trust and lead to significant financial losses. Consumers who purchase these counterfeit items may also face additional costs if the products fail or cause damage, further exacerbating the economic impact.
Legally, the production and sale of counterfeit electronics are serious offenses. In many countries, including China, authorities are cracking down on these activities. The arrest of the counterfeiting ring in Shanghai is a step in the right direction, but it is just one part of a broader effort needed to combat this issue. International cooperation and stricter penalties for counterfeiters are essential to deter these illegal activities.
Have a look at our iPhone 4S review to see what we thought of Apple’s latest smartphone, plus iOS 5 and their new virtual voice activated assistant Siri.
Source TiPb, China Daily
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