Feeds

Chinese fuzz bust faux iPhone racket

Shanghai gang shanghaied

Remote control for virtualized desktops

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. ®

Remote control for virtualized desktops

More from The Register

next story
Regin: The super-spyware the security industry has been silent about
NSA fingered as likely source of complex malware family
Why did it take antivirus giants YEARS to drill into super-scary Regin? Symantec responds...
FYI this isn't just going to target Windows, Linux and OS X fans
Privacy bods offer GOV SPY VICTIMS a FREE SPYWARE SNIFFER
Looks for gov malware that evades most antivirus
Home Office: Fancy flogging us some SECRET SPY GEAR?
If you do, tell NOBODY what it's for or how it works
Patch NOW! Microsoft slings emergency bug fix at Windows admins
Vulnerability promotes lusers to domain overlords ... oops
HACKERS can DELETE SURVEILLANCE DVRS remotely – report
Hikvision devices wide open to hacking, claim securobods
'Regin': The 'New Stuxnet' spook-grade SOFTWARE WEAPON described
'A degree of technical competence rarely seen'
Syrian Electronic Army in news site 'hack' POP-UP MAYHEM
Gigya redirect exploit blamed for pop-rageous ploy
prev story

Whitepapers

Designing and building an open ITOA architecture
Learn about a new IT data taxonomy defined by the four data sources of IT visibility: wire, machine, agent, and synthetic data sets.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
10 threats to successful enterprise endpoint backup
10 threats to a successful backup including issues with BYOD, slow backups and ineffective security.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
10 ways wire data helps conquer IT complexity
IT teams can automatically detect problems across the IT environment, spot data theft, select unique pieces of transaction payloads to send to a data source, and more.