BlackBerry Ltd, Samsung Fake Phones Sold On California Website

BlackBerry

The BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) and Samsung Electronics Co., Ltd. (LON:BC94) (KRX:005930) handsets you acquired recently might be fake. An online electronics retailer in California has been identified for selling fake Samsung and BlackBerry smartphones, according to the US federal authorities, who identified the retailer for importing and marketing forged smartphones.

“We will not tolerate the importation and marketing of counterfeit devices,” said Travis LeBlanc, acting chief of enforcement at the FCC.

Galaxy, BlackBerry 9790 devices faked

The Enforcement Bureau of the Federal Communications Commission (FCC) said that online retailer Panasystem Corp of Canoga Park, Los Angeles has sold phones with fake labels, which falsely claimed that the devices are FCC approved.

LeBlanc said that the marketing of these devices has mugged the intellectual property of the original manufacturers and harmed consumers by failing to offer safe and certified smartphones that are in accordance with the FCC’s equipment authorization process.

After an investigation, it was found that FCC labels on all the counterfeit smartphones were invalid and the information in the equipment database of the agency did not match the information on these fake devices.

Models for which the counterfeit devices were sold by the retailer are Galaxy S Duos and Galaxy Ace Models, both bearing deceptive Samsung FCC identifiers. The FCC investigation also unearthed fake BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) Model 9790 devices.

If found guilty, Panasystem will have to pay a fine up to $16,000 per if it does not stop importing and selling the forged devices. There could also be criminal case against the retailer in which case the company officers may be jailed.

Fake phone sales number rising

Separately, an earlier report by the Mobile Manufacturers Forum revealed that 125 million substandard and forged mobile phones were sold across the globe in 2011. This number increased in 2012, when around 148 million counterfeit units of smartphones were sold.

For 2013, report estimated the number of units sold were 186 million. This means that around 8% of all mobile devices sold across the world in 2013 were substandard or counterfeits.

In India, 20% of the mobiles sold are counterfeit as per the report. Most of those units sold in India were made in China and had high levels of lead. A similar report surfaced in Brazil, where researchers found that the five counterfeit phones tested by them had very high lead and cadmium level compared to the amounts authorized in Europe.

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About the Author

Aman Jain
Aman is MBA (Finance) with an experience on both Marketing and Finance side. He has worked as a Risk Analyst for AIR Worldwide, and is currently leading VeRa FinServ, a Financial Research firm. Favorite pastimes include watching science fiction movies, reviewing tech gadgets, playing PC games and cricket. - Email him at amanjain@valuewalk.com

4 Comments on "BlackBerry Ltd, Samsung Fake Phones Sold On California Website"

  1. lol your kinda silly in the way you think.

  2. Wow DEVVVV noticed a pattern about you always trolling

  3. What a dumb comment. Firstly it’s a very old phone, and an old os. Secondly, no one said the inside of the device was not an actual bb, just that the fcc identifier was fake. This could have been made from trashed parts, or old turned in phones. Move along…

  4. It seems odd that Blackberry,s security feature in the OS would not pick up on this pertaining to authenticity. This just proved to me that all providers present the same level of security.

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