Apple Struggles to Fix iPhone, MobileMe Problems

Apple's stellar reputation with customers at risk with recent mishaps.

The iPhone 3G.
The iPhone 3G.

Apple is still struggling to fix problems around marquee products delivered at its product debut last month, one that now looks to be one of the company's most stumble-filled launches since the return of CEO Steve Jobs.

Apple is distributing a second software update to the iPhone 3G, but at least some users report it doesn't fix the problems many users have reported with dropped calls and slow data speeds.

The software update came after a stream of complaints that the phone had trouble connecting to AT&T's 3G network. That the complaints came from around the world suggests the problems are with the phone, and not AT&T's network.

Apple, meanwhile, is extending subscriptions to its problem-plagued MobileMe service for another two months. The company had already added a month for most subscribers for the service, which among other problems lost E-mails and failed to sync calendars as promised.

Lots of computer companies fumble the launch of new products, but it's rare to see Apple battling multiple problems at once. Even Jobs said the company apparently took on too much with four major product launches at one time.

The company had built itself a reputation for good products and service that's significantly better than any other computer company, according to a survey released today by the University of Michigan. Apple was posting gains in customer satisfaction while the rest of the industry was slipping.

But the annual survey was conducted before the recent mishaps.

Apple Inc.

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