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Consumer Reports is out with a story saying that the new iPhone 4 that works on the Verizon cellular network has the same problems as the iPhone 4 that ran on the AT&T network - holding the phone a certain way can result in dropped calls and the inability to make connections.

The iPhone 4 uses the metal band around the phone as an antennae, and when users hold it a certain - and natural - way, it can prevent the phone from working.

Because of the problem, Consumer Reports says it will not include the Verizon iPhone 4 on its “recommended” list.

Apple denies that the problem exists. "The iPhone 4 has a great antenna that allows it to have an amazingly thin design, great battery life and reception,” says spokeswoman Natalie Kerris. "We designed the iPhone 4 external antenna to work great on Verizon's CDMA/EVDO network."
KC's View:
It struck me when this first happened that Apple mishandled the situation, minimizing rather than dealing with in a straightforward way ... but the controversy seemed to die down pretty quickly with no discernible long-term effects. I wonder if it’ll be different this time...either in terms of the corporate reaction or any consumer backlash.