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Apple still shines despite iPhone's bugs

First an iPhone price cut left early buyers feeling foolish, and then came reports that some iPods were spitting sparks.

Now the new iPhone 3G has been marred by bugs, spotty service, disappearing programs and a veil of secrecy over software developers trying to broaden its appeal.

Such a string of mishaps and missteps might throw another electronics company into crisis. But of course, Apple Inc. isn't just another electronics company. Even as iPhone griping rages online, it looks like Apple's sterling reputation will emerge untarnished.

"The objective reality is that Apple does plenty of wrong," said Peter Fader, a marketing professor at the Wharton School of the University of Pennsylvania. However, Fader said, the company's loyal fans, and even casual users, have come to identify so strongly with Apple's high-end, individualistic vibe that they're willing to look the other way.

"Very few companies have this kind of iconic status where anything they do - even if it is mediocre - will automatically have a halo around it," he said.

Kern Bruce, a 25-year-old Web designer in Boston, waited in line for 13 hours to buy an original iPhone. He sold it to upgrade to a 3G.

"There was no going back at that point, but after I sold it, I quickly started to regret it," he said. Bruce's complaints echo countless Web forum posts. The device gets uncomfortably warm. Programs crash. And it so seldom connects to AT&T's speedier third-generation, or 3G, data network that Bruce carries the iPhone around with 3G turned off.

Apple, which declined to comment for this story, said little as complaints rolled in, then released a software fix it said would improve the device's ability to connect to 3G networks. Since then, users on various sites have reported no improvement.

Bruce, an Apple aficionado since the very first iPod, also recently returned a MacBook Air because it got too hot, and said his Apple cinema-display monitor has burned-in images.

"They're skimping on materials, on testing things to gain market share, but they're kind of pushing away people who have been with the brand even when (it was) struggling," he said.

Yet when asked whether he'd abandon Apple, the answer was no.

Macs are "a lot better than the alternative, in terms of stability, viruses, being able to do high-end graphics work," he said.

"I wouldn't tell people to stop getting Apple products. They make very good products."

Baba Shiv, a professor of marketing at the Stanford Graduate School of Business, compares Apple's fan base to Harley-Davidson motorcycle riders who pass over arguably higher-quality Japanese bikes.

The entrance to the Apple store on New York's Fifth Ave. glistens, a stark contrast to consumer gripes about the new iPhone. Associated Press photos
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