Apple May Have Returned Up To 8 Million Defective iPhone Units
Apple may have returned between 5 and 8 million iPhone units this year to Foxconn due to poor manufacturing quality. Shoddily made iOS devices are unfit for sale, as they can hurt Apple’s reputation as the maker of impeccable products. An anonymous source from Foxconn revealed this to China Business and problems found are related to dysfunctional issues and substandard appearance.
Apple pays Foxconn about $200 for each iPhone delivered and those returned units worth more than $1 billion. This rumor correlates with latest report about Foxconn’s latest 10 percent drop in annual revenue, which is blamed on disappointing sales of the iPhone. It is not known which iPhone model is returned to Foxconn and whether Apple also returned iPhones to its manufacturing partner last year.
Foxconn recently hired more people to ramp up the iPhone production. This is likely needed to deliver iPhone 5S, but it’s not clear whether these new workers have anything to do with iPhone units returned to the company. Foxconn is also producing devices for Amazon, Nokia, Dell, Nintendo, Motorola, Sony and Microsoft.