A recent article in British MobileNews has unveiled a hidden threat to the secondary smartphone market. Thousands of buyers of used Apple iPhones have unknowingly purchased devices containing deceptive microchips that conceal the real status of battery health. The deception misleads buyers about the true condition of the battery, potentially causing devices to fail sooner than expected.
These microchips, costing as little as € 1.75, allow unscrupulous refurbishers to avoid replacing worn batteries. Installed primarily by refurbishers in China, the chips deceive industry-standard quality control tests by displaying a falsely high battery health status, often appearing as though the battery is nearly new. This deception allows the phones to be sold as fully functional to insurance companies, network buyers, and individual consumers.
The growing issue of concealed battery health
Typically, an Apple iPhone alerts users when battery health falls below 85%, recommending a battery replacement. However, the fake microchips bypass these alerts, leading second-hand buyers to believe their battery is up to standard, even when actual battery health may be as low as 80%. Most buyers and even quality assurance tests cannot detect the issue unless the phone is opened up.
“This practice is not only unethical, but it disrupts the entire supply chain," says Paul Schofield, founder of independent quality assurance company BlankIT. "If a buyer detects compromised stock, they cancel orders, return products, and seek a new, untampered supply."
BlankIT's solution to detect hidden chips
Until now, detecting these chips required physically opening each phone. BlankIT, however, has developed an external detection method, allowing Apple iPhones to be tested without dismantling. In trials with two major retailers, BlankIT’s method revealed a surprisingly high percentage of refurbished Apple iPhones containing the deceptive chips.
Schofield estimates that this fraudulent practice has persisted for around two years, affecting hundreds of thousands of devices. The motivation behind it is clear: while replacing an Apple iPhone battery costs around € 75, installing the € 1.75 chip is a significantly cheaper alternative.
However, this deceptive practice is shortsighted, warns Schofield. "Consumers are less likely to buy used devices again if they experience subpar performance," he said, adding that companies using such tactics risk damaging both customer trust and the industry’s reputation.
Source: MobileNews
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