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Fakes, Coming to a Store Near You

fishdan writes to tell us that while most Slashdotters have their own trusted sources for gear there is a growing concern that all consumers should look out for. According to PC World, more and more counterfeit hardware is coming to market each year. From the article: '...batteries aren't the only tech item that counterfeiters love. In October 2004, U.S. Customs and Border Protection officials in Anchorage, Alaska, seized 20,000 suspected fake Memorex USB memory key thumb drives from Asia. And last year, Miami officials seized 900 allegedly phony laptops valued at $700,000. "Maybe it's a laptop, an MP3 player, or a component like a DVD drive--anything in the digital world can be counterfeited," says Therese Randazzo, a U.S. Customs Service counterfeiting expert.'"

67 of 286 comments (clear)

  1. I don't get it by Anonymous Coward · · Score: 4, Interesting

    What is wrong with counterfeit electronics? Do they have different functionality, are they shabbily built, or do they just take profits away from the rightful owners of the product?

    1. Re:I don't get it by Big+Nothing · · Score: 5, Informative

      "What is wrong with counterfeit electronics? Do they have different functionality, are they shabbily built, or do they just take profits away from the rightful owners of the product?"

      From TFA:
      Bogus cell phone batteries, shoddily made and potentially unsafe, are a specialty of counterfeiters. "It's one thing to buy a fake $30 Louis Vuitton bag on Canal Street in New York City. It's an entirely different matter when you buy a fake cell phone battery and it blows up"

      So yes, lack of quality IS a problem - it's not just IP whine.

      --
      SIG: TAKE OFF EVERY 'CAPTAIN'!!
    2. Re:I don't get it by Rebel_lord · · Score: 2, Informative

      If you'd read the article, you would see that sometimes certain counterfeit products came broken or worse malfunctioned in such a way that caused injury. If there's really something counterfeit I'd avoid, it's batteries. Better safe than sorry is my motto when it comes to my valuable electronics like cell phones, laptops and MP3 players.

    3. Re:I don't get it by damsa · · Score: 3, Interesting

      Counterfeits are not made to the same standard as originals, if they were made to the same standards then the counterfeiters wouldn't be trying to pass off their goods as fakes, they would be making claims that their products were better.

      When you buy a product from a manufacturer, you as a buyer are protected by warranty laws, a counterfeiter can get away with selling stuff even if the quality is the same as the original for a lower price because they don't have to support you.

      Counterfeiters do take away profits from the rightful owners of the product. Companies spend millions of dollars to develop a product and to appeal to a certain market. If counterfeiters were allowed to counterfeit, then companies would not develop products.

      Also, how would like to buy an Intel computer but only to find that the insides are actually made by a Chinese knockoff company.

    4. Re:I don't get it by dunkelfalke · · Score: 2, Interesting
      they are shabby built, have different functionality and have no warranty.

      here you can see a picture of a fake usb bluetooth adapter. as you can see the antenna is a dummy, the only antenna it has is "drawn" on the pcb. also the bluetooth stack is a different one.

      --
      Conservatism: The fear that somewhere, somehow, someone you think is your inferior is being treated as your equal.
    5. Re:I don't get it by Anonymous Coward · · Score: 4, Interesting

      It goes really far down the chain. Nowdays you can't buy certain power transistors from just anywhere. Prized japense power transistors like even 2sc5200/2sa1943 are being counterfeited. the counterfeit devices have a much smaller die and no heatspreader. they are just glued to the package.

      This obviously has issues with the entire manufacturing process. anything that needed these parts now must be tested.

      counterfeit stuff is almost certainly poor quality, possibly bordering on dangerous. it makes the most sense as you get maximum profits that way.

      Further there is no accountability. A defective and dangerous product could harm people, thusly bringing lawsuits. These lawsuits would target, in this case, innocent corporations instead of outright dishonest ones. the lack of a need to care about the consumer at all makes counterfeitting electronics dangerous.

    6. Re:I don't get it by Basje · · Score: 2, Informative

      Most of these items are made in the same shops, with the same materials by the same workers as the originals. They are made in [Chinese|Russian|Malaysian|Other emrging economy] factories that during the daytime produce their product (eg thumbdrives for Memorex), and during the night for "parallel export".

      There are dangers to this practise. In these cases the producer cannot be held accountable (because it's not know who it is), so they don't have an interest in quality control. Often, discarded parts (that didn't meet QA) from the daytime are used.

      The only other difference is that the profits are not for the originating company. So in the case of forged thumbdrives: if it works, it most likely identical to one bought legitimately.

      --
      the pun is mightier than the sword
    7. Re:I don't get it by damsa · · Score: 2, Informative

      That's different than counterfeiting. It is perfectly legal to state that your battery is compatible with a Motorola. It is another thing to state that the battery is made by Motorola and will be supported by Motorola if it goes bad. In the US, people are allowed to state things are compatible, I can make HP compatible inks, I can also make perfume that smells exactly the same as the a name brand perfume as long as I make it clear that it is not the name brand perfume. Calling your perfume Opium is probably not okay, calling it Poppy Seed, with a tagline, smells like Opium is perfectly fine.

    8. Re:I don't get it by baryon351 · · Score: 3, Interesting

      Others have brought up good comments - that sometimes the counterfeits can be dangerous, not work the same as the real thing, not comply with local laws, be interference-prone electronics etc.

      Another problem is when a device made in the same factory as the real deal (let's say a Toshiba laptop) is sold in the US as a real toshiba. To many people hey, it's a real toshiba, and it's half the price!

      But part of the price of the REAL toshiba is the Quality Control that occurs along the line. Perhaps only 85% of all laptops made in that factory actually end up being accepted by toshiba as inventory, and the rest is set to be dismantled, scrapped or refurbished as something went wrong on the assembly line. So what do you get when you buy the fake toshiba?

      You get one of the *already rejected* "toshibas" that was never meant to be released to the public. Not only was it never given a serial number that matches a toshiba-sold product so all warranty is out the window, it's already been rejected and defined as having problems. Made in the same factory, yes, but not the same quality as the final for-sale object.

      Maybe you'll get lucky and get a solid machine that only has some case defects. Maybe you'll get a lemon that doesn't stay powered on for more than 15 minutes, has no warranty, and you still paid $400 for.

    9. Re:I don't get it by advocate_one · · Score: 2, Interesting
      If there's really something counterfeit I'd avoid, it's batteries

      how certain are you that those new brake pads the shop fitted to your car the other week weren't just compressed cardboard? or that bolt holding the engine in place on the wing of the airplane you're boarding today was really manufactured by one of Boeing's proper suppliers. Those are items currently being counterfeited that really scare me.

      --
      Donald 'Duck' Dunn: We had a band powerful enough to turn goat piss into gasoline.
    10. Re:I don't get it by Pieroxy · · Score: 2, Insightful

      The biggest problem (IMHO) is loss of revenue, for one, and decrease in perceived value from the brand. If I buy a fake SONY DVD player and it is crap, I will think SONY DVD's are crap. This is why they fight these guys as much.

      A battery exploding, while problematic, does not really impact the company being faked in a direct fashion. And they hold the stick for repression.

      They just use the battery explosions as a banner to say "Hey, we are not evil and fighting for our beloved revenue. We fight for customer protection."
      --
      George Herriman's Krazy Kat

    11. Re:I don't get it by ezzzD55J · · Score: 2, Insightful

      it might just be me, but i've suspected cellphone companies doing their part in spreading FUD about cheap(er) clones.

    12. Re:I don't get it by squoozer · · Score: 2, Interesting

      Your argument, while good, only fits a small number of cases where the fake could actually hurt someone. I fail to see how a memory stick can blow up and hurt someone.

      A much better reason to discourage this type of piracy is simply because margins are already tight in the electronics world without forcing the few players that exist to fight for their money with people ripping them off. There are areas where I feel pirates play an important roll. Music, movie and clothes production spring to mind. Production costs for these items has drop substantially in recent years but prices haven't generally followed. The pirates are showing the consumers that prices need not be as high as they are paying. I admit that pirates don't have associated development costs and therefore will always be able to sell for less but when you see a pirated copy of a movie for free and the real thing costs £16 ($30) you have to ask where the money is going.

      --
      I used to have a better sig but it broke.
    13. Re:I don't get it by MichaelSmith · · Score: 2, Insightful
      but i've suspected cellphone companies doing their part in spreading FUD about cheap(er) clones.

      Just like car makers selling "genuine parts".

    14. Re:I don't get it by tigersha · · Score: 2, Interesting

      NiMH Battries are not toys. They contain electronic safeguards to ensure they run within parameters otherwise they explode (end they blow up if they run too empty too). This has happened to Nokia in the past and people were hurt because their cellphones started burning. This was caused by fake batteries. The energy density in an NiMH cell is very high.

      --
      The dangers of excessive individualism are nothing compared to the oppressiveness of excessive collectivism
    15. Re:I don't get it by The+Clockwork+Troll · · Score: 5, Funny

      Is that the secret of NiMH?

      --

      There are no karma whores, only moderation johns
    16. Re:I don't get it by packeteer · · Score: 2, Interesting

      The reason fake electronics are bad is becuase they are not tracable back to their rightful manufacterer. If there is a low quality batch of, say USB cards, that lose data randomly, why should the non-fake manufacterer have their name associated with them.

      A lot of people here are having the standard knee-jerk reaction of saying only corporate profits benefit by cutting out fakes but thats just not the case. If a compan builds a brand name not with marketing but build a brand name with actually releasing a quality product then why should the be associated with the quality of fake items. Do you want to read a review of a top of the line quality electronics manufacterer and go out and buy the reviewed item only to find you got bought a low quality item?

      --
      unzip; strip; touch; finger; mount; fsck; more; yes; unmount; sleep
    17. Re:I don't get it by terminal.dk · · Score: 3, Insightful

      I agree. It is a problem. When the handle on the Louis Vuitton bag breaks, you can lose way more than a cell phone. Maybe your digital camera, video camera, and $2000 laptop all dies.

      There is a reason to buy quality, and to be aware that a brand name does not necessarily mean quality.

      In Denmark we had a case. A supermarket was selling "counterfeit" Puma shoes. The only difference between the cheap Puma and the full price Puma was, that the manufacturer had lost his Puma contract, but was still producing the same shoes.

      Go for quality rather than brand names.

      The best color you can buy is usually last year's :)

    18. Re:I don't get it by djupedal · · Score: 3, Informative

      Examples...and believe me, I know of where I speak, since I'm living at ground zero for where this stuff originates.

      Sony branded ni-cads - might hold a charge ok for the first few uses...rapidly downhill from there. Who knows what is inside. Use your imagination, but remember to only consider materials that are easy to obtain, with low cost up front.

      Sony branded 1gb USB microdrive - after one week...corrupted data. On and on...blank CDs, DVDs, SD cards....no end. If you get in with the shop vendors, they know what to avoid, and they won't sell you the bad stuff. I've learned how to spot most if it, but the odds are more than 50/50 you'll be buying fake, regardless of the outlet. Fake cosmetics, deodorants, medicines, shoes, clothes, watches...a small percentage are acutally high quality, just made after hours. But for the most part, the fakes are of lower quality than the originals.

      How good are they at doing this? No joke, I've seen fake raw eggs. Shell, egg white and yolk. No protein or edible matter whatsoever. Mostly off the shelf building materials. What kind of profit is there, when there is a market for a fake fresh chicken eggs?

      Why is this so prevalent? Believe it or not, being able to copy an original is considered a test of ability. It is routine for one generation in China to test itself by attempting to duplicate something done by their ancestors. From fabrics to porcelin, it shows respect and skill by being able to reliably copy something that was first done over two thousand years ago.

      Where is this headed? What better craftsmen, to really be the first to clone a human.

    19. Re:I don't get it by carl0ski · · Score: 2, Informative

      [quote]Sometimes the factories in third-world-factories that produce the "legit" products also produce those "fake" things. Is there something like this in computer electronics manufacture ?[/quote] yes Intel gave AMD all necessary Information to produce

      the Intel 80386 Microprocessor in the early 80's then the 486.
      As intel could make the CPU fast enough for the Demand and outsource to AMD to manufacture them.

      AMD started selling the exactly identical chip as Intel
      (they had the blueprints afterall and were by authorised by Intel to produce them. :)

      Suddenly there was Intel 486 Processor
      versus AMD 486 processor
      same processor but AMD was undercutting Intel on price.

      Enter Pentium haha AMD you cant copy our name any more since it is
      Trademarked

    20. Re:I don't get it by makomk · · Score: 2, Informative

      NiMH Battries are not toys. They contain electronic safeguards to ensure they run within parameters otherwise they explode (end they blow up if they run too empty too). This has happened to Nokia in the past and people were hurt because their cellphones started burning. This was caused by fake batteries. The energy density in an NiMH cell is very high.

      I know that's true of Lithium Ion batteries (hence why they're always packaged in a flat plastic square - the electronics are included in the battery pack), but I thought NiMH batteries were just generally plain cells with no electronics whatsoever.

    21. Re:I don't get it by bcattwoo · · Score: 2, Interesting
      The pirates are showing the consumers that prices need not be as high as they are paying. I admit that pirates don't have associated development costs and therefore will always be able to sell for less but when you see a pirated copy of a movie for free and the real thing costs £16 ($30) you have to ask where the money is going.

      First off music/movie and clothing "pirates" are really different creatures. Clothing pirates actually produce a product and then try to leech off of someone elses good name to make a sale. Anyone can see for themselves that a handbag can cost less than $300 by going to Walmart. The bags there don't have the cachet of a Loius Vitton bag though.

      Your comments are even more ridiculous applied to music/movies. To say that a pirate has lower production costs is a rather large understatement. Producing a movie requires all sorts of expenses from paying actors, directors, stagehands, etc, to marketing. Pirating a movie requires the movie, a computer, and an internet connection. No mystery on how the pirate can "make" the movie so cheaply. Independent low budget producers/labels are a better example of how movies/music can be made more cheaply.

    22. Re:I don't get it by darkith · · Score: 4, Interesting

      NiMH batteries are generally pretty safe. They don't really require any onboard electronics, just a peak detecting charger if they're being fast-charged. If shorted, they may get *really* hot or ignite adjacent materials, but they're not as reactive as lithium based technology.

      Li-Ion/Li-Poly cells are the dangerous ones. Basically they can reach a run-away condition very easily, and lithium is *very* reactive. They can ignite if punctured, charged too fast, over-charged, or if they drop below a certain voltage and are then charged at normal rates. They will also swell/burst if over-discharged or over-heated. Most Li-Poly/Li-Ion packs include a circuit with a thermal cutoff to prevent over-heating, a circuit to prevent shorting/excessive-discharge-rates, and a circuit that isolates the pack if it drops below a safe voltage (usually around 2.5-2.8 volts per cell).

      I did purchase a pair of Li-poly batteries for a cell phone, which were no-name imports. They did not have any cutoff circuitry, and I suspect could have been nasty if they wandered out of spec (either through abuse or a defective phone). I used them with no problems though, but I think I'd reconsider, given what I know now about Lithium cells.
      That said, the circuitry required for Lithium cells is becoming cheaper everyday (the functionality is avaiable in a single chip), so I wouldn't be surprised if "decent" third-party units do have the desired safety functionality.

      D.

    23. Re:I don't get it by narsiman · · Score: 2, Funny

      Also, how would like to buy an Intel computer but only to find that the insides are actually made by a Chinese knockoff company.

      That happened to me. I bought a thinkpad and found out that it was a knock of from some chinese company - Lenovo or somethting.

    24. Re:I don't get it by LarsG · · Score: 4, Informative
      [grandparentquote]
      Sometimes the factories in third-world-factories that produce the "legit" products also produce those "fake" things. Is there something like this in computer electronics manufacture ?
      [/grandparentquote]

      Depends on what your definition of "fake" is. It is well known that manufacturers of, say, memory chips producing under contract/license for known brands sell surplus and not-tested-to-make-sure-the-chips-are-within-spec stock to the grey market. Which is ok, as long as there is no contract/license agreements barring the factory from doing so and the memory chips sold in this manner aren't passed off as "known brand" chips.

      Rebadging does happen, but whether it is done by the factory or by people buying surplus is a different matter.

      Intel gave AMD all necessary Information to produce the Intel 80386 Microprocessor in the early 80's then the 486. As intel could make the CPU fast enough for the Demand and outsource to AMD to manufacture them.

      AMD started selling the exactly identical chip as Intel (they had the blueprints afterall and were by authorised by Intel to produce them. :)

      Suddenly there was Intel 486 Processor versus AMD 486 processor same processor but AMD was undercutting Intel on price.

      Enter Pentium haha AMD you cant copy our name any more since it is Trademarked


      The Intel/AMD story is a bit different. When IBM put together the IBM PC they had to rush to get it out the door to compete with the myriad of personal computers that were showing up on the market. Instead of taking the traditional route of designing everything in-house, they did something that at the time was very unusual for IBM. They went outside IBM to pick the components to build the machine, including the 8088 from Intel.

      IBM was then a powerhouse, and Intel was in comparison small fry. IBM did not want to depend on a single source for the components used in the IBM PC, so in order for Intel to get the contract they had to license the x86 to a second source - AMD.

      AMD was at first a second source producer of Intel designed x86 CPUs (8086, 8088, Am286). Intel considered the licence only valid up to the 80286, so they cancelled the agreement in 1986 and lawsuit(s?) ensued. AMD kinda sorta won, and starting with the Am386 in 1991 they have designed and manufactured their own x86 compatible CPUs.
      --
      If J.K.R wrote Windows: Puteulanus fenestra mortalis!
  2. Wow I'm glad he's an "expert" by Anonymous Coward · · Score: 5, Insightful

    "Maybe it's a laptop, an MP3 player, or a component like a DVD drive--anything in the digital world can be counterfeited," says Therese Randazzo, a U.S. Customs Service counterfeiting expert.'"

    Last time I checked there captain obvious anything in the analog world can be counterfeited as well. Basically anything can be counterfeited. If this guy counts as an expert I'd hate to see a n00b.

    1. Re:Wow I'm glad he's an "expert" by WheresMyDingo · · Score: 3, Funny
      Basically anything can be counterfeited. If this guy counts as an expert I'd hate to see a n00b.

      Maybe he's a counterfeit expert?

  3. Act now to stop hardware counterfeiting by Statecraftsman · · Score: 5, Funny
    I've decided to offer my own consumer hardware....ummm....authentication service. If you suspect you are in posession of counterfeit hardware(expecially the xbox 360 or an iPod nano), please send it it to:

    P.O. Box 12345
    Hometown, USA 12345

    Please note that due to cost concerns, your hardware cannot be returned. Thanks and if you include your email address I'll let you know if it's counterfeit.

    (just a joke...please don't actually send me anything cuz that address is extreme bogusness)

    1. Re:Act now to stop hardware counterfeiting by WoodieR · · Score: 3, Funny

      when you make your second million, drop me the first ...

      --
      Question Authority before IT questions You ...
    2. Re:Act now to stop hardware counterfeiting by Jinsaku · · Score: 2, Funny

      I work at a Satellite TV company, and I heard stories that back in "the day", about 4 or 5 years ago Q&A and development would test with production data, as there apparently was no way at the time to differentiate between test and prod accounts. So, one of the things everyone did was put the words (in big bold capital letters) "DO NOT INSTALL" on address line 2, and the full address was real, but with a fake apartment number like "#545329823098234" or something.

      Apparently, one of the big reasons they ended up setting up a test system was due to money loss from installers trying to find apartment #545329823098234 on "DO NOT INSTALL" lane. :P

      --
      -- Jinsaku
  4. Is this the real /. by SecondHand · · Score: 2, Funny

    or some fake. How to tell?

  5. Wait till you see... by bronney · · Score: 4, Interesting

    what we have in stores for you. Earlier we had soy sauce made from hair juice. Yes, factories in China grinding human hair into juice and mix with water.

    Fake down blankets stuffed with shit polyesters.

    Now hear this, fake EGGS. Yes you heard right. What mogglers my bind was how on earth could you make eggs cheaper than collecting from chickens. The fake eggs were obviously inedible, but will crack and pour just like a real egg, with yolks and stuff.

    The famous fake gucci's and LV's are old news.

    Latest that came in from a buddy who works in shenzhen was that he rode in a fake mercedes benz. They copied all contours and instead of the tri-star, it's a 5 pointed-star (China)! Cool eh.

    1. Re:Wait till you see... by wodgy7 · · Score: 2, Informative

      In case anyone doubts the fake eggs story, here's a photo of one of the phony eggs: http://news.xinhuanet.com/photo/2004-12/28/content _2387255.htm The shell is made from calcium carbonate and the internals are mixed up (there's no defined yolk) and made from a mixture of gelatine, starch, alum, and a variety of other things.

    2. Re:Wait till you see... by bronney · · Score: 2, Informative

      Dude, I ain't no sucker. I live in hong kong and this hair soy sauce story made the 7pm news. That's because they weren't just making it and sell as no frills. They counterfeited an existing brand and trade it all over mainland, just not hong kong.

  6. Yeah except it costs the same by SmallFurryCreature · · Score: 3, Insightful
    If I get a item that is 50% less for 50% of the cost I basically get the same deal. However if I buy a nokia battery that normally sells for 100 and instead accidently buy a fake for 80 and it then explodes I might feel that it is not such a good deal.

    Yeah "fakes" can work. In a way the PC your sitting behind right now is a "fake". Unless your a rich bastard sitting behind a IBM or Apple machine.

    This article is however not about those kind of fakes. It is where the buyer presumes he is buying the real deal often for the real price. That is not good.

    Same with software, you can hold a lengthy argument about software piracy but when I pay full price for a software package I would expect to get a real offical copy.

    By all means, make cheap memory or hd or mp3 players but don't try to pass it of as a superior product and charge the same money.

    --

    MMO Quests are like orgasms:

    You may solo them, I prefer them in a group.

  7. Dupe? by 6Yankee · · Score: 2, Funny

    Not a dupe? Hey, whoever counterfeited Slashdot, back to work!

  8. factories in China just keep production runs going by Anonymous Coward · · Score: 2, Informative

    I've read that when a company is done with a factory in China making their product, you will then see the factory "illegally" keep producing a product sometimes. Or the process will be copied by another factory. Hence the label of "fake". Then it comes down to if a fake is a fake if it's identical but doesn't carry the name brand or authorization of the name brand (where the answer is probably yes).

  9. REAL goods, FAKE labels by NigelJohnstone · · Score: 5, Interesting

    "In October 2004, U.S. Customs and Border Protection officials in Anchorage, Alaska, seized 20,000 suspected fake Memorex USB memory key thumb drives from Asia."

    Do Memorex even make USB drives, or do they simply buy them in from Asian and stick their badge on them?

    "Miami officials seized 900 allegedly phony laptops valued at $700,000. "Maybe it's a laptop, an MP3 player, or a component like a DVD drive--anything in the digital world can be counterfeited," says Therese Randazzo, a U.S. Customs Service counterfeiting expert.'"

    I bet they were *real* laptops and *real* mp3 players, the only difference was the label. What you're saying is they can fake *labels*. But that's just because the USA has become a fake brand country, companies license a brand like Polaroid or Caterpillar, buy in cheap Asian crap, stick a "Polaroid" badge on it and charge loads more money because people think they're buying American.

    Who cares if those fake brands get pirated, since its the difference between an overprice Asian product and a cheap Asian product, it's still jobs in Asia.

    They should tackle false origin of goods labelling instead, since that's the cause of jobs being lost in USA and Europe. How can an Italian shoe maker compete with companies which appear to be Italian luxury show makers, but are just fake Asian brands with some minor finishing in Italy?

    1. Re:REAL goods, FAKE labels by tpgp · · Score: 3, Interesting

      I bet they were *real* laptops and *real* mp3 players, the only difference was the label. What you're saying is they can fake *labels*. But that's just because the USA has become a fake brand country, companies license a brand like Polaroid or Caterpillar, buy in cheap Asian crap, stick a "Polaroid" badge on it and charge loads more money because people think they're buying American.

      I generally agree with your sentiment about Western Consumers getting sucked into overpaying for cheap crap because of a label (CK clothes instantly spring to mind).

      However - I do actually think trademark is one area of 'intellectual property' that helps consumers.

      If I buy a laptop that has "AMD Sempron 3000+" written on it, I would like to *know* that that's what it is - not an 900MHz Intel Celeron. Similarly, I want the video memory to be whats advertised, etc etc etc.

      Who cares if those fake brands get pirated, since its the difference between an overprice Asian product and a cheap Asian product, it's still jobs in Asia.

      Sometimes you do not get a rebranded equivilant, but something that is completely inferior to what you expected.

      I would be extemely pissed off if I bought one of the Fake AMD CPUs that were going around a while ago, to find it overclocked, ran hotter, and had a shorter lifespan that it should.

      --
      My pics.
    2. Re:REAL goods, FAKE labels by pintomp3 · · Score: 2, Interesting

      i bet they weren't *real* laptops and mp3 players. most of the knockoff electronics are simply made to look legit, not function. i doubt you can make a functioning powerbook for much cheaper than apple. i remember my uncle brought me this "video recorder" once (long story about how he got it). it totally looked like a sony handycam. but when you pressed eject, the space was for an audio cassette. sure enough, i put in a tape and it played back the audio. in the front was a film camera. i'm not sure why they went through the time to design all of that. clearly this is not a case of "the only difference was the label". i've also seen a minolta slr that totally looked legit also, til i noticed the thumbwheel to wind the film. i agree that a lot of products, especially non-electronics are often simply label-whoring. but most electronics items don't have the mark up that prada bags do. btw, if you go to chinatown, you will find that the quality clearly well below the real ones. but a fake prada bag will still hold your stuff as well as a real one. that fake camcorder couldn't record video.

  10. Re:Cheap fake or the real thing? by ddx+Christ · · Score: 2, Insightful
    Uh, slow down partner.

    This isn't talking about cheap fakes. Instead, you're getting unreliable fakes for the brand price. You're getting ripped off twice as much. That's not good at all, no matter what spin you put on it. I think you're confusing this with just getting stuff dirt cheap from China. The article focuses on the fakes commonly being put in place of the real goods.

  11. Windows by Freaky+Spook · · Score: 5, Funny

    I think my copy of windows may be counterfeit. Its really slow and every time I open internet explorer I keep getting directed to hardcore porn sites.

    1. Re:Windows by thanextgeneration · · Score: 2, Funny

      that's not counterfeit that's just a 'feature' :P

    2. Re:Windows by The+Clockwork+Troll · · Score: 3, Insightful

      Nope, that is the Windows Genuine Advantage.

      --

      There are no karma whores, only moderation johns
  12. Cisco is plagued by counterfeits by puzzled · · Score: 5, Informative


      A Cisco dual channel T1 controller, part VWIC-2MFT-T1 is $2,000 new list price. A small reseller will pay 70% of list or about $1,400 for it in distribution, while a large reseller might only pay $1,100 or so. Below we see a tinyurl link to an Ebay auction for a new boxed unit at only $227 or 11.3% of list price. I guarantee if you contact the seller you can get six dozen of them for the same price.

    http://tinyurl.com/ak9by

      This has gone on and on and on and on for the last two years, destroying the value of used Cisco gear we pull from customers and making it almost impossible to buy a used/refurbished card without running into this stuff.

      I found out about this sort of thing the hard way. I got a *fantastic* deal on six new in the box Cisco 1721 routers. It wasn't so fantastic when I had to explain to my biggest customer that half of the machines they owned couldn't be registered for service because Cisco had them listed as in service in South America. Oh, and they failed, one by one, with mysterious problems not attributeable to hardware or software ... they just acted ... different.

      Foo on all counterfeiters. They should be given counterfeit lifesaving drugs while riding in an ambulance equipped with counterfeit brake pads on their way to a hospital where they'll be cared for by a doctor who is really a drunken paramedic who thought it'd be fun to be a trauma surgeon for a day. If they live through that then they should be placed in a real live jail and periodically offered counterfeit parole papers to sign.

    --
    I am very easy to get along with, but I don't have time to waste being nice to people who are being stupid. -Theo
    1. Re:Cisco is plagued by counterfeits by gregorio · · Score: 3, Insightful
      A Cisco dual channel T1 controller, part VWIC-2MFT-T1 is $2,000 new list price. A small reseller will pay 70% of list or about $1,400 for it in distribution, while a large reseller might only pay $1,100 or so. Below we see a tinyurl link to an Ebay auction for a new boxed unit at only $227 or 11.3% of list price. I guarantee if you contact the seller you can get six dozen of them for the same price.
      Maybe because most Cisco's products are just cheap versions of industry standard hardware designs. This card is mostly a cheap-ass FPGA with a small associated analog circuitry. I bet the counterfeiters don't even need to copy Cisco's firmware (probably licensed from some cheap-ass chinese company), as most T1-related signal processing algorithms can be licensed for free or just real cheap.

      Any chinese company can build this kind of product, as the related technologies (and component prices) can be complex as manufacturing an ADSL modem.

      But that's Cisco TODAY. Back in The Day when the components and technologies necessary to build a T1 signal interface were really expensive, their prices at least made some sense. Today the amount of signal processing necessary for a full-featured ADSL modem is larger than for this kind of communications card.

      Today's Cisco is just a seller of overpriced commodity hardware.
    2. Re:Cisco is plagued by counterfeits by jmichaelg · · Score: 3, Interesting
      Cisco is plagued by counterfits.

      If Cisco outsources the manufacture of the hardware how can it possibly believe that the manufacturer won't run an extra X copies off the line after they've run Cisco's? Sure, your contracts may prohibit that but when the cost vs what Cisco charges the end user is so great, the temptation for someone at the manufacturing line is going to be pretty high. Especially if they figure they'll sell the goods in a market where Cisco isn't.

      There are reasons on-shore companies used to do the manufacturing themselves. This is one of them.

      Outsourcing may be cheaper in the short run but Cisco is beginning to learn what the long-run costs are.

    3. Re:Cisco is plagued by counterfeits by anticypher · · Score: 2, Interesting

      There are a ton of counterfeit Cisco goods on the market, they all come from the same Flextronics plant in Suzhou, China where Cisco makes 40% of all its electronics. The cards are exactly the same as Cisco cards, but the firmware is sometimes different, and they are missing the official Cisco logo. They have the same part numbers as their Cisco counterpart. I'm pretty certain these are cards which failed QA/QC in the plant, and are re-sold without the Cisco logo.

      These cards are the bane of support people. When you yank a failing card and realise you can't call TAC, the customer is screwed.

      There are a lot of used equipment resellers in Europe with these cards and chassis, they come in through Rotterdam by the container load. You can pick up a non-branded, fully loaded 12008 for a few thousand euros, a 2811 for about 100 euros, and a palette of 1720s with ADSL WICs for 20 euros each. At those prices, you don't bother about TAC support, you just buy extras as spares and swap out anything that fails. The MTTF is usually under a year, so it's still Caveat Emptor.

      the AC

      --
      Hemos is like...sci-fi fans;he thinks technology is cool, but he hasn't bothered to understand the science it's based on
  13. Fake laptops are almost indistinguishable by SecondHand · · Score: 3, Funny
  14. I've got a fake Music CD by Advocadus+Diaboli · · Score: 4, Funny

    said it comes from Sony/BMG and then it was a rootkit installer. :-)

  15. Not a major consumer issue by martinmcc · · Score: 2, Insightful

    I don't see this as being a major issue for consumers - so long as you shop at places you trust. It is up-to the retailer to ensure they are buying the ligitimate goods, not for the buyer (how is run of the mill guy going to know how to tell the difference?).

    You buy from a respectable outlet, and you use the product. If it fails, you bring it back to get it replaced. If they discover its a conterfeit, you get it replaced with the real thing (or sue if they are not forthcoming). Issue lies between outlet and supplier, not consummer and outlet.

    There is the issue pointed out that things may go boom, but I think this is over hyped. Counterfeits arn't the only thing that go boom, and again, so long as it is a tracable outlet (i.e. not the back of a van) you get it replaced or sue for damages depending on how much of a boom.

    As always - you want to buy cheap from the back of a van, you run the risk of getting malfunctioning crap and money down the drain. You buy from a reputable retailer, you still run the risk of getting malfunctioning crap, but you also you get the protection of the law if it goes pear shaped.

  16. Fake Gilette razors by Raindeer · · Score: 2, Informative

    A major Dutch retail chain recently had to recall a whole lot of Gilette Mach 3 razorblades. It turned out they were fakes. The packaging looked real enough, but the razors were nowhere near the quality Gilette makes.

    Trouble is that with globalization going on as it is, it is not unheard of for an import/export company to buy wholesale an X amount of razors, to sell most of it through their normal channels and to sell some excess surplus on the international market. Buyers would normally buy from the manufacturer, but it is hard to resist buying some of the wholesale surplus of others.

    With globalization increasing, creating a bigger marketplace and smaller margins, I would expect to see more fakes for two reasons:
    - more superfluous relationships between supply and demand instead of the traditional 1 on 1 manufacturer, wholesaler, retailer relationships. Making it easier to slip something in and be unnoticed.
    - larger markets make it more profitable to inject fake goods into the economy, by creating larger demands for products, so that the margins combined with volume creates a large enough incentive for crime to seize the chance.

  17. Counterfeit Hardware by Anonymous Coward · · Score: 4, Insightful

    I think counterfeit hardware could be the next stage in trojans and viruses.

    For instance, imagine you buy a wireless router from ebay, which the seller has pre-installed with trojan firmware and comes with a packet sniffer, bulk mailing software pre-installed, ftp server, password grabber etc. The best part is, most people trust their routers implicitly so don't bother checking them from the outside world. Some people then disable their software firewalls once they have a router available.

    Another great idea would be a network printer with a trojan payload.

  18. How about brand products with fake labels? by mwvdlee · · Score: 2, Interesting

    A lot of consumer hardware is sold, with unchanged specifications and possibly minor cosmetic changes, using multiple brands and pricing based primarily on those brand names.
    Would this be considered counterfeit as well?

    --
    Slashdot social media options: AIM, ICQ, Yahoo, Jabber and Mobile Text. Why no MySpace?
  19. Elevators too by whoda · · Score: 4, Interesting

    There was a story about counterfiting in an issue of Fast Company last year. In it, there was an example of an elevator company who got called to service an elevator in a high-rise building.

    The elevator company had no record that they had an elevator installed there.
    When the technicians got there, they couldn't fix anything, because the elevator wasn't really theirs. It was a knock-off!

  20. Bad News Dude.... by amcdiarmid · · Score: 2, Interesting

    Even the "Italian" goods are often manufactured in third world countries.

    I can't speak specifically to shoes, but I can speak for sweaters. Production has largely moved out of shops in Italy, and into (Pakistan, Malaysia, ...) other countries. My mother in law used to own & operate a sweater assembly shop. Even using immigrant labor that was low paid by Italian standards, they could not compete with the no pay of Pakistan. (Yes, I know that the workers there are their familys breadwinners.)

    The problem of jobs moving from high paid countries to low ones is endemic, and a good example of a beggar thy neighbor approach to economic production. (You offer companies more incentives to work in your place, and let them pay less for the work.) Eventually everyone works for nothing;(

    Better country of origin laws would work if everyone was willing and able to pay more for goods made in *well paying* countries. However some sort of horrible tax regime based on how much workers receive would probably make more sense.

    my $.02 ($.02, that's more than an hourly wage in a Burma sweatshop;))

  21. Re:But does it run Linux? by legalize.ganja.now. · · Score: 2, Funny

    no. they run a counterfeit version of minix.

  22. Growing concern? by AutopsyReport · · Score: 2, Interesting
    This is a growing concern? Come on, counterfeiting has been around for centuries. Louis Vuitton and the 'LV' symbol which is so sought-after these days (usually through counterfeit means) was initially introduced as a counterfeiting measure to be printed on the bags/luggage some 100 years ago or so. Now it's one of the most popular fashion symbols known, and consequently, one of the most counterfeited brands.

    It was only a matter of time before counterfeiting struck its hand on the electronics industry. There's already counterfeit electrical parts, medical supplies, you name it. The thing is about counterfeits coming from China is that there are thousands of factories that can produce the exact same product easily. Factories are next door to each other in Guangdong/Shenzen -- getting the blueprints for products is only a matter of knowing someone from another factory and getting a copy for you to produce. So it may not be so much an issue as having a counterfeit phone, but having a phone produced in a different factory.

    The truth of the matter is, the '100% mirror quality' fake Louis Vuitton's that walk their way past you in the mall are impossible to tell from the real ones. The quality is the exact same, and the materials and craftmanship the same. So for small, (mostly) meaningless electronics, counterfeit does not impose much of a problem to the consumer. For health-critical devices or medicines, it's a different story. That's why there's so much more focus on stopping counterfeit medicine than Louis Vuitton.

    --

    For he today that sheds his blood with me shall be my brother.

  23. Deadly fakes by SysKoll · · Score: 2, Interesting
    Fake Vuitton bags don't endanger anybody's live, they are just a rip-off. Of course, since the whole "elite brand" phenomenon is largely a matter of advertizing overpriced goods, you could just dismiss the problem as a parasitic rip-off riding the coat of a legal rip-off.

    However, fakes aren't stopping at clothes and fashion. The problem is that if you don't fight counterfeit very efficiently, you soon see them appear in places where reliability and traceability are paramount. What about bad components crashing a mission-critical system? Fake brake pads in your car that overheat and fail? Or even worse, fake antibiotics and aviation parts? All these are happening today and are a major concern.

    One way to fight counterfeits is to ship items with an RFID tag that is queried at each step of the shipping and traced back to the originating factory. Of course, pirates will soon start counterfeiting tags too, so the system has to be designed to prevent fake and duplicate numbers.

    I personally must be naive because I cannot conceive making fake drugs or couterfeit airplane parts -- could you endanger thousands of lives to make a quick buck? Obviously, such scruples belong to a gentler era, such as the Hun invasions.

    --

    --
    Mad science! Robots! Underwear! Cute girls! Full comic online! http://www.girlgeniusonline.com/

    1. Re:Deadly fakes by Sigma+7 · · Score: 2, Informative
      However, fakes aren't stopping at clothes and fashion. The problem is that if you don't fight counterfeit very efficiently, you soon see them appear in places where reliability and traceability are paramount. What about bad components crashing a mission-critical system? Fake brake pads in your car that overheat and fail? Or even worse, fake antibiotics and aviation parts? All these are happening today and are a major concern.?


      Mission critical systems normally procure their products directly from the manufacturer, or from a known reseller of the manufacturer - in either case, something that is known and trusted. In addition, for a new supplier, they will generally perform rigerous testing on the product.

      This procedure alone stops all but the most experienced of counterfeiters, as mission critical systems need to build up a pattern of trust beforehand.

      For regular service, counterfeiters can go in just fine by creating medium quality products. I know one government organization that got burnt by counterfeit network cards - while the cards individually met the specification, they were all cloned with identical MAC addresses.
  24. The Only Way to Break Into A Business by cyberscan · · Score: 2, Insightful

    Unfortunately, fakes are the only way for a new business with limited sources of cash to break into an old product line. With all of the "parnerships" between advertisers, labor organizations, governments, and retail stores, a small company which produces a product that is also produced by the big players will have a hard time seeing their product appear on the shelves of stores like Wal-Mart and Target.

    Because people are a lot like lemmings, they will spend vast amounts of money on a pair of shoes simply because they have a checkmark (Nike) on them while disregarding a brand that is cheaper and better quality. Rather than looking at the material and construction of a product, most people buy based on what people on TV or the magazines are wearing. If one can afford to buy a blessing from Madison Avenue, they do not need to conterfeit.

  25. U.S. Critical Vulnerability by cyberscan · · Score: 3, Insightful

    Where are many critical electronic parts for computers, automobiles, military weapontry, and other important devices for America manufactured? The simple answer is the "Peoples Republic" of China. How many of these devices have "trojans" or sabatage circuitry embedded in intergrated circuits themselves? We may never find out (Hopefully). I can picture the day when the world grows tired of accepting worthless paper (dollars or Federal Reserve Notes) as "payment" for tangible goods. I can also picture the day that the "People's Republic" of China decides to annex Tiawan by force. All they have to do is wait for or cause a certain condition to occur, such as a specific date, or a certain code to pass over wires, or even a specific signal to be transitted. The "trojan" circuitry picks up the signal and disables the device. A couple of lines of code or a few transistors can throw a real monky wrentch into the functionality of a device. How could the U.S. stop the invasion of Taiwan when its electronic infrastructure has been disabled? I'm sure that the U.S. government has investigated this option when it permitted American telephone equipment manufacturers to export equipment to Eastern Bloc countries before the fall of the Berlin Wall. Now, the tables are turned, and America depends on foriegn counties and companies for its electronic infrastructure.

  26. Re:Not all trademark infringements are so serious by LarsG · · Score: 2, Insightful

    Memorex buys Beijing 'Chung Brand' USB stick and sells it labelled as made by Memorex.
    Fred Bloggs buys Beijing 'Chung Brand' USB stick and sells it labelled as made by Memorex.

    1. The person who buys Fred Bloggs stick is being deceived, because it's not Memorex.
    2. But then so is the person who buys Memorex because it's really 'Chung Brand'.


    From what I've been told, it doesn't work quite like that. That the sticks come from the same factory does not mean that they have the same quality.

    1) Memorex does a contract with 'Chung Mfg. Co', asking them to produce USB sticks according to certain specs (quality, price, etc). Checking that the sticks are of sufficient quality is either done by 'Chung Mfg. Co' according to the contract, or by Memorex after purchase. The important thing is - Memorex is guaranteeing the quality by putting their name on them, and know that they can't sell low grade goods without damaging the brand value.

    2) 'Chung Mfg. Co' sells surplus sticks to the general market. These might be just the same quality as those sold to Memorex, lower quality that can't be sold to Memorex or straight off the production line with no quality check (the general/grey market probably pays less than Memorex, so 'Chung Mfg. Co' is likely to cut costs somehow, perhaps by doing less testing or using lower grade raw materials). When buying one of these in the store - whether 'no-name' or mislabelled as Memorex - noone is guaranteeing the quality.

    You also have:

    3) 'Less known company' buys surplus sticks cheap from 'Chung Mfg. Co', does their own quality testing (probably less than Memorex, to keep costs down) and sell them as 'Less known brand' USB sticks.

    4) 'Well known company' does the same as (3), but instead of selling the sticks under the 'Well known brand' label, they sell them under the 'Less known subsidiary of well known company brand' label.

    --
    If J.K.R wrote Windows: Puteulanus fenestra mortalis!
  27. What a bunch of FUD by Lord+Byron+II · · Score: 3, Informative

    Yes, counterfeiting is wrong, but this article is jam packed with FUD! They make it sound like only counterfeit products will fail, but we all know that the real thing can be just as bad (XBOX 360s overheating, IBM HDDs crashing, Ipod batteries dying). The worst is when they quote the MSoftie who states that if you buy a counterfeit MS product, your credit card number could be stolen. What's the basis for that?

  28. Surprise, surprise by ajs318 · · Score: 2, Interesting

    So some companies can produce functionally-similar goods to famous brand names for less money. Big surprise. They haven't got the overheads like private yachts for fatcat directors and shareholders. If government propaganda is to be believed they do have alternative overheads like bombs and stuff. Maybe blowing up buildings is cheaper than blowing up the tyres of a Ferrari?

    Anyway, it's almost entirely the fault of the manufacturers of the "genuine article". If people are counterfeiting your products and still managing to make a profit selling them cheaper than you, then you obviously are overpricing them in the first place.

    --
    Je fume. Tu fumes. Nous fûmes!
  29. Counterfit Windows by XMilkProject · · Score: 2, Informative

    A friend of mine purchased a cheap laptop from your average privately owned computer store in town, and asked me to have a look at it, becuase it kept asking to activate.

    After looking at it briefly, and seeing the tell-tale sign of a badly cracked copy of Windows (Tells you to activate, but then keeps saying you've already activated) I went to the Genuine Windows checker on the Microsoft site and confirmed it was a stolen copy.

    It seems private companies selling computers with pirated microsoft software is becoming extremely common, as it allows them to easily increase their profit by many hundred dollars (if you include Office also).

    --
    Big ones, small ones, some as big as yer 'ead!
    Give 'em a twist, a flick o' the wrist...
  30. ball bearing fans by loshwomp · · Score: 2, Interesting
    Back in the bad old days before you could conveniently mail order hardware, you went to the COMPUTER SHOW AND SALE at the local community college gym.

    I used to buy a lot of 80mm ball bearing fans, because the cheap-ass sleeve bearing fans that came stock in power supplies would always sieze up after 6-18 months. But often the ball bearing fans would wear out, too.

    A little surgery revealed that many of the supposed ball bearing fans actually had cheesy bushings, and the clever Chinese simply learned how to sell their cheap wares for more by slapping "ball bearing" stickers on them. Once, to make a point, I bought an $8 fan and immediately dissected it in front of the vendor with a pair of diagonal pliers. He just shrugged.