Apple shares fall on iPod nano screen issues

“Apple Computer Inc. (AAPL) fell $1.47, or almost 3%, to $51.93 after the company confirmed it would give replacements for iPod nanos that suffered cracked or scratched screens,” Rex Crum reports for MarketWatch.

Full article here.

Apple shares currently stand at $51.96, down $1.48, or 2.77% on heavy volume of 17,804,213.
Crum’s report that Apple will replace iPod nano units with “cracked or scratched screens” is incorrect. Apple has confirmed that the cracked iPod nano screen issue is a real, but minor issue involving a vendor quality problem in a small number of units. In fact, this issue has affected less than 1/10 of 1 percent of the total iPod nano units that Apple have shipped. It is not a design issue, according to Apple. As for “scratched” iPod nano screens, Apple said yesterday that that the screens on the iPod nano are made with the same material that is found in the company’s fourth-generation iPod, which, to date, is complaint free. “We have received very few calls from customers reporting this problem – we do not think this is a widespread issue,” Apple VP Phil Schiller told MacCentral. “If customers are concerned about scratching we suggest they use one of the many iPod nano cases to protect their iPod.”

Related articles:
Much-ballyhooed iPod nano screen concerns ‘a real but minor issue’ – September 28, 2005
Apple replaces iPod nano cracked screens; handful of units affected, WSJ: ‘barrage of complaints’ – September 28, 2005
Apple responds to iPod nano screen issues – September 27, 2005
iPod nano ‘screen issues’ really just FUD? – September 26, 2005
flawedmusicplayer.com website alleging iPod nano ‘screen flaws’ hosted on Apple’s .Mac – September 26, 2005
SiliconValley.com editor: ‘The iPod nano is fast becoming Apple’s next Cube’ – September 26, 2005
Alleged problems surfacing with Apple iPod Nano screen – September 26, 2005
Site reports iPod nano screen failures – September 23, 2005
Thurrott: Apple iPod nano is almost perfect – September 23, 2005
Inside Apple’s iPod nano; how healthy are Apple’s margins? – September 22, 2005
CNET iPod nano review: ‘Sets new standards, stretches boundaries of tech, Apple’s done it again’ – September 16, 2005
The New York Times’ Pogue states iPod’s Law: the impossible is possible – September 14, 2005
Associated Press praises Apple iPod nano, takes swipe at Microsoft WMA-based also-ran music services – September 14, 2005
Apple’s music competition having tough time and the iPod nano won’t help them – September 14, 2005
One of big stars at Microsoft’s PDC show: Apple’s iPod nano; Microsoft reps ‘in awe’ – September 14, 2005
Piper Jaffray: Apple seeing high demand for iPod nano – September 14, 2005
Australian IT: Apple iPod nano ‘a little bar of techno-joy’ – September 14, 2005
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Apple’s iPod nano: The ‘thin lady’ sings unwelcome iTune to competitors – September 09, 2005
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Mossberg: Apple iPod nano ‘beautiful, incredibly thin, and exceeds Apple’s performance specs’ – September 08, 2005
Apple’s iPod nano will make competitors whimper, Motorola’s ROKR inexplicably bland – September 07, 2005
Tech pundit Enderle: ‘iPod Nano is a hit,’ Motorola ROKR ‘simply doesn’t have enough Apple in it’ – September 07, 2005
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19 Comments

  1. So, just as I feared, there actually is an issue with the screen that lead to some breaking for no good reason.

    Worse than that is that Apple is still not dealing with the extremely poor scratch-resistance of the iPod. It’s interesting to me that everyone I talk to who has an iPod (other than an annodized aluminum iPod mini) is like “oh yeah, it’s scratched to Hell, but I don’t mind too much”, while all of these people who don’t have iPods and are posting in here are like “no way! iPods don’t scratch unless you rub them with steel wool!”

    If the iPod body was annodized aluminum, it wouldn’t scratch without the steel wool treatment. If the iPod display had a hard-coat like eyeglasses get, it would also be far less scratch-resistant. As it is, iPods get scratched up by being in a pocket all by themselves and rubbing against cotton.

  2. I have two nanos. Their screen aren’t scratched at all. Guess why? Because I wasn’t so stupid as to remove the plastic film protector, and I won’t until my cases come in. But I also have other iPods; those that I have used with some care, including putting them in my pants pockets–the pockets without the keys or change–are nearly scratch-free. The ones I have bought for my daughters fall into two groups: those that have been reasonably cared for and are nearly scratch-free, and those that are not. In another post on another article, someone referred to some people as “too stupid to live, procreate, or vote.” Looks like that class got let out again.

  3. Being an owner of a 3G iPod, I have absolutely no issues with scratched or cracked screens. That’s because – in the good ol’ days – Apple bundled their iPods with a bulky but useful belt-clip case, protecting my baby.

    MDN Magic Word: POLICY – as in Apple should make it policy to include a case with all iPods (not to mention Firewire, but that’s another can of worms…)

  4. Re: Nick
    I have a 3G iPod, I had it for months and its still absolutely scratch-free. If people can’t take care of their iPods its not Apples fault.
    I don’t blame the maker of my car because of a scratch I got by driving too close to a thorny bush in greece ” width=”19″ height=”19″ alt=”hmmm” style=”border:0;” />

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