Last week, The Information's Wayne Ma reported about a sophisticated fraud scheme in which organized thieves would buy or steal iPhones, remove valuable components like the processor or logic board, swap in fake components, and return the purposefully-broken iPhones to receive replacements they could resell.

serial number reader

iPhone Serial Number Reader

Apple became aware of the increasing fraud in 2013 and, in the years since, it has managed to "dramatically reduce" the rate of iPhone-related repair fraud in its retail stores, particularly in China, according to the report.

One of Apple's countermeasures was to develop diagnostic software that its retail employees could use to quickly detect fake parts in iPhones, the report said. To evade this tactic, however, many fraudsters started to intentionally disable the iPhones so they couldn't be turned on and subjected to diagnostics.

Fraudsters even went as far as obtaining Apple customer records, including serial numbers, for iPhones that had already been sold in China. In some cases, the incorrect serial numbers would be etched on the back of the iPhones.

To combat the use of stolen serial numbers, The Information reported that Apple came up with a screening method known as "Zombie Check" internally that tested whether serial numbers for the broken iPhones held for inspection were also associated with iPhones still using Apple's online services like iCloud.

According to an internal Apple document obtained by MacRumors, the tool was initially limited to China, but Apple began rolling it out to Apple Authorized Service Providers around the world in February 2018.

The aptly-named Serial Number Reader is a simple tool with a Lightning connector on one end and USB-A on the other. It is used to validate the serial number of an iPhone 6 or newer that will not power on by retrieving it directly from the logic board, although a source said it doesn't always work.

To use the tool, a technician connects the end with the Lightning cable to the iPhone and the end with the USB cable to a Mac running macOS 10.8.5 or later. Then, the technician launches the companion Serial Number Reader app on the Mac and the iPhone's serial number should appear in most cases.

serial number reader macos
The tool can retrieve serial numbers from iPhones that have been damaged in a variety of ways, including units with a non-functional display. Liquid damage is also no obstacle, so long as the liquid is no longer leaking out of the device.

Apple's internal document states that "serial number validation ensures warranty and service eligibility associated with a serialized device is appropriately applied." The document adds that "validation ensures Apple only offers warranty service on genuine Apple products," thwarting fraudsters.

Apple's efforts appear to be working. Apple's annual Form 10-K indicates that, in 2017, Apple's warranty expenses decreased to $4.32 billion from $4.66 billion a year earlier. The serial number tool, it would appear, is quite effective.

Top Rated Comments

PBG4 Dude Avatar
82 months ago
“Decreased to $4.32 billion from $4.66 billion” is considered effective? Seriously?
Since when is saving $340 million dollars not a big deal?
Score: 13 Votes (Like | Disagree)
estabya Avatar
82 months ago
LMAO it uses USB-A. They can’t even get to their own USB-C future.
Score: 13 Votes (Like | Disagree)
Canyonero Avatar
82 months ago
Does anyone at Apple ever wonder if being so embedded in China is the way forward? It’s literally the place where they have to bend over backward for everything, including this. What if everyone just said no, enough. Play by the rules and until you do, we are not doing business with you. I know it’s too late for that now but did no one really think of this? Everyone just thought we are going to smooth sail to China, have them do our stuff for cheap and that’s it, they won’t try to benefit?
Score: 4 Votes (Like | Disagree)
alexksj Avatar
82 months ago
Considering that at the same time Apple increased their sales by 6% (215 to 229 bil $), this gives you an effective decrease of 13% of warranty costs in proportion to sales.

$340 million seems a lot in isolation, but when compared to a sum in billions that’s like a 7.3% reduction. It doesn’t really show how effective it is. This 7.3% reduction may just be the fact that warranty claims reduced due to increased reliability of the new phones. If it’s in the region of a 15% or more reduction, it will be more believable that it’s this device being effective.
Score: 4 Votes (Like | Disagree)
garoto Avatar
82 months ago
Since when is saving $340 million dollars not a big deal?
How can we attribute all the savings to that tool? Can it be that maybe fewer claims were made? Or that year over year, all claims made aren’t worth the same $, or that iPhones are more reliable?

I’m sure the tool helped, but all $340 million attributed to it? I guess possibly if year over year warranty claims kept increasing as more and more iPhones were sold, and since the tool was released, it was decreased.
Score: 3 Votes (Like | Disagree)
alleggerita Avatar
82 months ago
Since when is saving $340 million dollars not a big deal?
$340 million seems a lot in isolation, but when compared to a sum in billions that’s like a 7.3% reduction. It doesn’t really show how effective it is. This 7.3% reduction may just be the fact that warranty claims reduced due to increased reliability of the new phones. If it’s in the region of a 15% or more reduction, it will be more believable that it’s this device being effective.
Score: 3 Votes (Like | Disagree)

Popular Stories

iPhone 17 Air Size Feature

'iPhone 17 Air' With Rear Camera Bar Allegedly Shown in Leaked Photo

Tuesday January 21, 2025 12:46 pm PST by
A leaker known as "Majin Bu" today shared an alleged image of a component for the rumored, ultra-thin "iPhone 17 Air" model. The blurry, pixelated image shows a pair of rear iPhone shells with a pill-shaped, raised camera bar along the top. On the left side of the bar, there is a circular cutout that appears to be for a single rear camera. On the right side of the bar, there appears to be an ...
Generic iOS 19 Feature Mock Light

iOS 19 Leak Reveals All-New Design

Friday January 17, 2025 2:42 pm PST by
iOS 19 is still around six months away from being announced, but a new leak has allegedly revealed a completely redesigned Camera app. Based on footage it obtained, YouTube channel Front Page Tech shared a video showing what the new Camera app will apparently look like, with the key change being translucent menus for camera controls. Overall, the design of these menus looks similar to...
iOS 18

Here Are Apple's Full Release Notes for iOS 18.3

Tuesday January 21, 2025 4:31 pm PST by
Apple provided developers and public beta testers with the release candidate version of iOS 18.3 today, and with it comes release notes confirming what's new. While we knew about several of the features that are in the update, there are some lesser known tweaks and bug fixes. The update adds new Visual Intelligence features for iPhone 16 models, it tweaks Notification summaries on all...
iPhone SE Dynamic Island Majin Bu

iPhone SE 4 Leak Shows Dynamic Island, Casts Doubt on Rumored 'iPhone 16E' Name

Monday January 20, 2025 9:01 am PST by
A new iPhone SE is widely rumored to launch this year, and the device has potentially been confirmed today by known leaker Evan Blass. In a private social media post, Blass shared an image of what appears to be source code mentioning an iPhone SE (4th Gen), which casts doubt on the alternative "iPhone 16E" name rumored for the device. However, the name in the source code could be a...
2024 App Store Awards

Apple Explains Why It Removed TikTok From the App Store in the U.S.

Sunday January 19, 2025 6:58 am PST by
Apple on late Saturday removed TikTok from the App Store in the U.S., and it has now explained why it was required to take this action. Last year, the U.S. passed a law that required Chinese company ByteDance to divest its ownership of TikTok due to potential national security risks, or else the platform would be banned. That law went into effect today, and companies like Apple and Google...
airtag 4 pack blue

AirTag 2 Launching This Year With These 3 New Features

Sunday January 19, 2025 8:11 am PST by
After a four-year wait, a new AirTag is finally expected to launch in 2025. Below, we recap rumored upgrades for the accessory. A few months ago, Bloomberg's Mark Gurman said Apple was aiming to release the AirTag 2 around the middle of 2025. While he did not offer a more specific timeframe, that means the AirTag 2 could be announced by the end of June. The original AirTag was announced...
ipad pro 2024

New iPad Pro Reportedly Launching This Year

Tuesday January 21, 2025 6:40 am PST by
Apple plans to release at least one new iPad Pro model this year, according to a supplier-focused report today from Korean website The Elec. It is likely that the 11-inch and 13-inch iPad Pro models would be updated simultaneously. After receiving an OLED display last year, the report said the iPad Pro will receive only "minor" changes this year. Overall, the next iPad Pro is expected to...
truecaller

Truecaller iOS Update Rolls Out Real-Time Caller ID Support

Wednesday January 22, 2025 2:07 am PST by
Popular caller ID app Truecaller is rolling out an update that brings real-time caller ID support to its iOS subscribers. Apple introduced Live Caller ID Lookup in iOS 18, allowing third-party caller ID apps to securely retrieve information about a caller from their servers, hence today's Truecaller update. iPhone users can enable the Live Caller ID Lookup feature by going to Settings ➝ ...
iOS 19 Roundup Feature

iOS 19 Rumored to Be Compatible With These iPhones

Saturday January 18, 2025 10:28 am PST by
iOS 19 will not drop support for any iPhone models, according to French website iPhoneSoft.fr. The report cited a source who said iOS 19 will be compatible with any iPhone that can run iOS 18, which would mean the following models: iPhone 16 iPhone 16 Plus iPhone 16 Pro iPhone 16 Pro Max iPhone 15 iPhone 15 Plus iPhone 15 Pro iPhone 15 Pro Max iPhone 14 iPhon...