Apple finally held a press conference to announce their response to the issue. Basically, they're going to issue free bumpers, side-only cases that seem to solve the issue, and they're going to extend the return period for the phone.
There are a couple of takes on Apple's response: either too little, or just right. As an aside, should point out that these links are from sister publications: Slate is owned by the Washington Post, and The Big Money is a spinoff of Slate.
Let's ignore the fact that the public face of Apple is inextricably intertwined with its CEO, Steve Jobs, one of the co-founders of the company, and that Steve can come off as imperious.
Having supported Apple products for many years, and dealt with the company directly on a technical level, I can say that Apple has actually reacted more quickly and decisively on this issue than on most issues they've had to address.
A few years ago, there was an industry-wide battery issue. Laptop batteries for Sony, Dell, Apple, and others were failing catastrophically due to defective manufacture, all from the same source supplier. Each computer manufacturer responded differently, and it took months for the issue to rise from "some batteries will catch fire" to Apple and others offering widespread recalls to batteries.
A similar issue arose from defective capacitor manufacture. Apple's eMac line of computers were affected; basically, capacitors on some logic boards could leak, causing erratic but non-dangerous behavior. At the time, I worked in a school that hand over a hundred eMac computers, and ultimately over half of them qualified for a free replacement - not an easy task, as it required complete disassembly of the computer. In that case, it took Apple at least three months to formally recognize the issue and offer repair. I should add that Dell, which experienced a similar issue, has actually been taken to court because its sales force was told to actively deny the issue, going so far as to tell customers they were using the computers incorrectly.
So, I know Steve can be abrasive, and smug, and high-handed, and I know there's a lot of backlash against the iPhone - there are a lot of people that want to see it fail, if only because it's such a high-profile device. However, I don't think Apple can be faulted here.
I tend to agree with The Big Money's Kevin Kelleher that Apple handled this issue just right. Technology aside, it's true that issuing a formal apology is not something a CEO should ever do unless it's clear that the firm has already engaged in wrongdoing. Apple is doing what any company does when its customers are dissatisfied: drawing a sharp boundary around the problem and offering a resolution. Consumers are free to take it or leave it.
http://www.nytimes.com/2010/07/17/technology/17apple.html
http://www.slate.com/id/2260619/
http://www.thebigmoney.com/blogs/app-economy/2010/07/16/how-steve-jobs-eats-crow?page=0,1
