After lots of complaints about iPhone 3G connection issues, Apple released a firmware update Monday with hopes it would fix the issues. But early reports propose it didn’t work as planned.

Complaints have included dropped calls, abrupt network switches, poor reception, and service interruptions.

The glitches were reportedly related to a chip inside Apple’s music-playing cell phone. BusinessWeek reported last week that Apple was working on a remedy through a software upgrade.

Fix Causes More Problems

Apple declined to offer details about its iPhone 2.0.1 update, other than saying it included “bug fixes.” However, comments in Apple’s support forum say plenty about the latest attempt to rectify poor user experiences. In fact, the update seems to be causing new issues, apparently interfering with the GPS operate, among others.

“The first thing I noticed was the really jerky scrolling in applications like looking at photos and e-mail lists. Anything that had enlarged lists didn’t like to scroll,

but on the previous firmware it was very, very fast!” Demlotcrew wrote in the Apple support forum.

Other iPhone users reported having no issues with the original firmware, but now having problems with Monday’s fix. One user reported the firmware turned the iPhone into a virtual brick. Many users are trying to reinstall the original firmware to avoid the new issues, opting for what they see as the lesser of two evils.

Still Looking for the Root

Richard Windsor, a financial analyst at Nomura Securities, could be right after all. In a research paper released last week, he pointed to similar complaints with 3G phones launched in Europe five years ago and speculated the culprit could be the chipset inside the iPhone 3G. The handset runs on an Infineon 3G chipset.

“We believe that these issues are typical of an immature chipset and radio protocol stack where we are nearly convinced that…

Original post by dhiram