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
'Kim Kardashian snaps naked selfies with a BLACKBERRY'. *Twitterati gasps*
More alleged private, nude celeb pics appear online
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
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
Snowden, Dotcom, throw bombs into NZ election campaign
Claim of tapped undersea cable refuted by Kiwi PM as Kim claims extradition plot
Freenode IRC users told to change passwords after securo-breach
Miscreants probably got in, you guys know the drill by now
THREE QUARTERS of Android mobes open to web page spy bug
Metasploit module gobbles KitKat SOP slop
BitTorrent's peer-to-peer chat app Bleep goes live as public alpha
A good day for privacy as invisble.im also reveals its approach to untraceable chats
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.