Feeds

Chinese fuzz bust faux iPhone racket

Shanghai gang shanghaied

Website security in corporate America

Police in Shanghai have arrested five suspects in a phony iPhone case that is thought to have netted over three quarters of a million dollars.

According to the Shanghai Daily, police raided an underground workshop in July in the city’s Zhabei district, not far from the Shanghai Multimedia Valley technology zone, and found that the gang was assembling iPhones using some of the components used in authorized handsets. When shown the finished product, Apple engineers said that the "it's really hard for customers to distinguish the fake ones from the genuine ones."

The raid netted 200 of the faux iPhones, together with around 5,000 components, which would either be assembled onsite or farmed out to freelance assemblers who worked from home. The finished products were sold online and via illegal market stalls by the gang, which was headed by a local man named Dong.

The phony iPhones actually worked properly, the report notes, albeit with a reduced battery life. Because they used proper components, they cost around 2,000 yuan to make, and they were sold for around 4,000 yuan, slightly less than the cost of a proper iPhone.

"The cell phones sell well with more than 30 ... sold in one day," officers said.

Demand for Apple products among China's emerging middle class is huge, so much so that analysts have speculated that Cupertino will release a cut-down version for the Middle Kingdom. Earlier this year there was also concern that Chinese entrepreneurs were running entirely fake Apple stores, although it seems these may simply have been resellers. ®

Protecting users from Firesheep and other Sidejacking attacks with SSL

More from The Register

next story
Early result from Scots indyref vote? NAW, Jimmy - it's a SCAM
Anyone claiming to know before tomorrow is telling porkies
Home Depot: 56 million bank cards pwned by malware in our tills
That's about 50 per cent bigger than the Target tills mega-hack
Hackers pop Brazil newspaper to root home routers
Step One: try default passwords. Step Two: Repeat Step One until success
UK.gov lobs another fistful of change at SME infosec nightmares
Senior Lib Dem in 'trying to be relevant' shocker. It's only taxpayers' money, after all
Critical Adobe Reader and Acrobat patches FINALLY make it out
Eight vulns healed, including XSS and DoS paths
Spies would need SUPER POWERS to tap undersea cables
Why mess with armoured 10kV cables when land-based, and legal, snoop tools are easier?
TOR users become FBI's No.1 hacking target after legal power grab
Be afeared, me hearties, these scoundrels be spying our signals
Blood-crazed Microsoft axes Trustworthy Computing Group
Security be not a dirty word, me Satya. But crevice, bigod...
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
The next step in data security
With recent increased privacy concerns and computers becoming more powerful, the chance of hackers being able to crack smaller-sized RSA keys increases.