iPhone Bumper Program May Cost $175 Million

Apple finally coped on and released that the safest (and cheapest) option would be to give away the iPhone 4 bumper cases or other 3rd party cases. Now obviously this will come with it’s costs and Apple has reportedly put aside $175 Million of it’s revenue to cover the costs.
According to Apple CFO Peter Oppenheimer $175 million of iPhone 4 revenue is being put aside to cover their costs. This means that revenue generated from iPhone 4′s sold from now until September will be used to cover the costs of providing the free bumpers and cases.
While $175 million may sound like a lot, it’s nowhere near as much as what a product recall would have cost them. It was estimated a product recall could cost as much as $1.5 Billion, had Apple gone ahead with it.