In 2016, a Chinese engineering student in Oregon told Apple that his iPhone wouldn’t power on. He turned in the device, and Apple sent him a replacement iPhone. Then it happened again. And again. Over the next two years, the man, Quan Jiang, sent in a total of some 3,000 fake iPhones and claimed that they were defective. He eventually made off with 1,493 replacement iPhones, costing Apple an estimated $895,800. Jiang pleaded guilty to trafficking in counterfeit goods on Wednesday and agreed to pay $200,000 in restitution, a Department of Justice statement said. His near 50% success rate in fooling Apple with fake iPhones raised questions about potential loopholes in the company’s processes.
May 23, 2019