Antennagate – Why did Apple let such a simple problem become a corporate disaster?
July 21, 2010I am continually amazed at how companies can let simple public relations matters become total corporate disasters. Most recently we have discussed PR disasters such as the BP Oil Spill, Tiger Woods, Toyota and John Edwards. Denials and cover-ups make the story bigger and harder to resolve. We can now add Apple to the list with the recent debacle over customer complaints about the iPhone 4 antenna not functioning properly and causing dropped calls.
Recently, I was a participant in the pre-market test project for AT&T’s new Microcell 3G product. The Microcell 3G connects to your broadband service and acts as a mini-cell phone tower. During the test we learned that the Microcell 3G device needed to be placed at least one foot from your exiting Wi-Fi device.
Now, the instructions for the AT&T Microcell 3G device clearly state the proper placement for the Microcell 3G device. A simple solution that could have become “Microcellgate” had the instructions not included this needed statement.
So the simple solution for Apple would have been to tell people “don’t cover the antenna area while talking on the phone”. Or you could have been given the reason for purchasing bumpers, which fit around the iPhone and help with the reception issue. Not a big deal. But Apple made it a big deal, by first denying there was a problem. Then, giving a partial-admission of the problem, then a full-admission and then, finally, a resolution. If they had simply admitted the problem and offered a solution immediately, it would not have grown in the PR nightmare we have witnessed. Apple took a simple matter and turned it into a major multi-million dollar disaster that will take years to overcome.
The lesson for companies, candidates, or anyone dealing with the public is to be upfront and honest. Let the public know as quickly as possible what they deserve to know. In Apple’s case, the antenna issue should have been handled in the iPhone 4’s operating instructions.
On a side note, when I ordered my iPhone 4 on the first day, I noticed they were selling bumpers,. In a “Blink” decision, I purchased bumpers for my phone. I’m glad I did. I am perfectly happy with my iPhone 4 and would have bought it even if I did know about the antenna problem. Think about all the money Apple has spent – and will spend – on “Antennagate” when a simple truthful statement about the antenna weakness could have avoided the entire matter.