The iPhone 4 was released in June, 2010, and was quickly embroiled in a debate about the extent to which holding the phone in a certain way could hinder call reception. Dubbed "antennagate," the issue became an example of poor crisis management. The solution offered by then CEO Steve Jobs--"Just avoid holding it that way"--only made matters worse and Jobs ended up addressing the matter head-on in a press conference the following month by acknowledging that Apple and its phones are not perfect. And neither are other phones, many of which exhibit similar reception issues.
Consumers barely noticed. They liked the sharper screen and other improvements. The iPhone 4 has been selling well since it was released.