Counterfeit (Fake) Headsets - How to recognize and avoid them; what are the differences?

According to Wikipedia, “A counterfeit is an imitation that is made usually with the intent to deceptively represent its content or origins. The word counterfeit most frequently describes forged currency or documents, but can also describe clothing, software, pharmaceuticals, watches, or any other manufactured item, especially when this results in patent infringement or trademark infringement.”. In our case we are talking about fake Bluetooth headsets. The look-alikes were functional units but either with inferior design, features, or performance.

The whole idea for this article emerged when we purchased a Motorola HT820 headset from Ebay for our own use. When it came, we were really outrages by the low quality of the plastic mold. After a day of use, the “Motorola” logo unglued. At that time we were sure that the headset is fake. So we went on an Ebay shopping spree and purchased several earpieces like the Nokia BH-800, BH-200, Jabra JX10, Motorola H700, Motorola HT820 Stereo Bluetooth, Motorola H700, H500, H3 and HS850. At the same time we got original ones either directly from the manufacturer, or purchased them from large and reputable online stores like Buy.com.

As online auction sites have become extremely popular, selling counterfeit items is now extremely easy. The “business people” now only need an Ebay account. They could be located anywhere in the World, but thanks to air-cargo, items shipped from Hong-Kong or China arrive within a week or so. Customs are of course a lot less suspicious if a single package goes trough them, compared to a container with fake headsets which was the usual way before. Another plus for counterfeiters now is the lack of need to risk of being caught when trying to sell their products – again thanks for Ebay and the rest of the auction sites, offering their merchandise is very easy task.

In the next few pages we will tell you how to differentiate between a genuine and counterfeit headsets; how do they compare in quality, battery life and range; what to do if you intend to purchase one soon; and finally, what to do if you already have a fake one.

According to research done by Strategy Analytics, the wholesale revenues of US$2 billion are expected in 2007, making Bluetooth headsets the largest market for mobile devices. Motorola, Jabra and Plantronics were the three largest manufacturers, with combined share of 57% of all BT headsets in 2005. Motorola respectively is the world’s largest supplier with about 28% market share, followed by Jabra with 16% and Plantronics with 12%. The total Bluetooth sales in 2005 were about 33 million units.

The genuine and counterfeit headsets come in different boxes: although they are of the same size, the fake one is in black and misses the animated details the original has. The texts written on them are different, as well as the font type and size are not the same. The counterfeit one also misses the small rectangular sticker, with information including Serial Number, Item Number, etc, which is a must for every unit.
The plastic used for the interior of the box is much different than the original: it is lighter in color, and deforms easily. The neck strap of the fake accessory is made of black colored fibers, while the original is metal.

But what really matters is the headset itself: when we directly compare the two, the difference is noticeable, but if you have only a fake one, we really doubt one would guess its true origin. The easiest way to spot the spurious one is by looking at the earpiece – its rubber is hard and doesn’t really fit in its place, and is uncomfortable to wear at the same time.

The Nokia logo on the front side is in dull grey, while the genuine headset has silver reflecting “Nokia”. Around the volume scrolls of the both headsets there are + and – signs that reflect the light, but what you will notice is that the scroll key of your counterfeit accessory cannot be pushed inwards, which is required for muting the microphone.

You will see another difference when you power it on – the moment the headset is put to be charged, it can be easily noticed that the LED light is radically different on the two devices. The authentic one has directed light only from a small quadrangle, while the fake one flickers with a lot larger round diameter.

Different are the pairing notifications as well as the genuine headset flashes in green when in pairing mode and in blue when connected, while the fake one does it vice versa – blue for pairing and green for standby mode when connected.

When paired with a phone, the fake one is discovered as BH800, while the real one as Nokia BH800.

The BH-800 is not the only Nokia headset faked. We noticed that models such BH-700, BH-600, BH-802, HS-54W and BH-300 also appear to be counterfeited and sold on Ebay.

The original Jabra JX10 was directly sent from Jabra for which we thank them, while the other was purchased again from Ebay. The two boxes are pretty similar, but still there are some minor differences: the original is with glossy finish, while the fake is mat, and misses some of the texts written, as well as a photo of a woman making bubbles and the label “One of the smallest Bluetooth headsets ever made” on the back side of the front cover. The photos on the back side are also in different colors.

When we directly compare the two headsets, the differences are not as brutal as they were with the BH800, but if you have authentic unit next to you and an attentive eye, you may see them: the LED of the original device is bigger and half-lucent, while our counterfeit headset had fully transparent light. The best way to spot the fake is by looking at the volume up button and its pair, as the one on the fake is speared. The miniUSB socket is grey (instead of black) and lacks the couple of holes on the left and right.

Motorola, being the largest manufacturer makes them the prime target for counterfeits. According to our research, they have the most fake models on the market – HT820, H605, H700, HS850, H3 and H500.

The fake H700 has bigger openings in the earpiece than the authentic one, and its volume keys are smoother, while those of the genuine device are more rugged. We find it weird, but the keys of the “unknown production” are pressed easier and have better tactile feedback.

Such abnormities are not observed with the H3 RAZR headset – the keys of the original device are better, but we can say that both units suffered from awful press response! The only difference in the design is the inner part of the earpiece, which can be seen from the holes on it.

The two units of Motorola H500 were almost the same, but we still managed to find some differences between the genuine and counterfeit headsets.
The one half of the plastic over the microphone of the genuine Motorola is half-transperant, while the same plastic of the fake headset is solid.
Similar to the H3, the earhook of the genuine H500 ends with half-transperant rubber, while the one of the fake H500 is not transperant.

The fake H500, just as a few other counterfeit headsets, had a round quality-control sticker on it. We haven't seen a single genuine headset (from any manufacturer) with similar sticker on it.

On the other hand the Motorola HT820 Stereo headset is one of the worst replicas of a headset we’ve seen – we were sure this is not a Motorola genuine accessory at the moment we received it. Its neckband is awfully glued to the two earpieces and there is glue all over the plastic mold that goes over and behind your ear.

There is no information about the headset itself: all the service information that should be on the inner side of the neckband is missing. The “Motorola” logo on the opposite side unglued on the first day of our usage, clearly showing the “quality” of the device.

The ring between the leather and plastic parts of the earpiece is one of the differences that you can easily notice – the one of the genuine headset is of “plastic”, “artificial leather”-like material, while the same part of our fake headset is made of fabric.

While it is playing, the genuine headset glows in blue: both the left and right earpieces have LED in the form of the stylized Motorola logo, and the left one blinks then the right one does the same. But the cool part about this is that the light increases and decreases gradually and there is smooth transition from the left to the right light. The fake headset just flashes – first the left, then the right – there’s no transition.

After we have discussed the physicaldifferences, the most notable were the variations in the headsets performance –battery times, sound quality and range. Even though some of the counterfeits actually performed better in several situations, the overall results shows considerably lower battery lives, range and voice quality.

First, judging sound quality and volume isvery subjective. We tried to stay as objective as possible – the team memberswho were testing the headsets actually did not know if they had a real or afake one. The overall results show a total score of 21.96 points for the realones, and 17.83 for the fakes. If the numbers are converted in percentages, thecounterfeit had ~25% lesser quality.

Our next test was to distance the headsetfrom the phone to which it was paired to the maximum range at which theconversation could still be sustained. By sustained we mean able to clearlyunderstand the other party. All the headsets were tested with the same two HTCWizards, at the same exact location. The results again show about 25%difference between the original and fake ones. The overall range accomplishedby the genuine ones was 423 feet, while the fakes scored 364.

The continuous stand-by time test wascompletely flunked by the fakes. They got a total of only 1320 minutes, whilethe real ones had about 2080 – 50% more ! Almost all fake ones lastedonly about 50% of what they real counterparts did.

This should be enough to convince even themost skeptical users that the problem is real. Now we have to determine howwidespread it is...

Whosells counterfeits?

According to our research, a lot of theheadsets sold on Ebay are unfortunately counterfeits. It is true that determiningfor sure just by looking at an action if the item is fake or real is very hardand prone to errors, but we are pretty confident in the numbers we got.

First, we looked at the sellers inventory –if they were selling any headsets at lower than normal for that device price;we examined the feedbacks they have received from buyers; we examined theimages the sellers were providing; the warranty claims and many other signswhich we found to be a tell-tell of a distributor of counterfeit items.

In one day, we counted about 50 fake JabraJX10 were sold on Ebay, and about 55 fake Nokia BH-800. If you put thosenumbers into a prospective, it comes to about a little over 20 000 a year onlyfrom the BH-800. The average price at the time of our research (end of October)for a fake JX10 was $50, while the real one was close to $90. The question ishow many are sold through different channels such as Yahoo Auction, onlinestores etc.

Whichare the most faked headsets?

Keep in mind that not every single model isfaked. Usually models that are with high price or are very common and wellknown are faked first.
The list below contains headsets which we had and can confirm were fake:

Motorola H700, H500, H3, HS820 and HT820
Jabra JX10
Nokia BH-800

The second list contains headsets which we did not have and can not confirm that are fake, but we think they are:

Nokia BH-802, BH-700, BH-600, BH-300, HS-54W
Motorola H5
Sony Ericsson BH-608, BH-602, BH-610, HBH-65

Whatto do before purchasing headset?

We’ll try to give you a few important stepsto follow before purchasing a headset.

1. Determine the price at which a headset is sold from large retailers. The best way is to go to pricegrabber.com or any other price comparison site. At the time this article is published, according to Pricegrabber, BH-800’s lowest price is $79.98 shipped from storefront and $94.98 shipped from merchant (NewEgg.com). Compare those prices to the $25-$30 for which the fakes go on Ebay and you have your first hint that something is wrong.
2. If purchasing from Ebay, check the seller’s feedback for any complaints about defective or counterfeit items.
3. Check if the seller offers other headsets at very low prices. We determined that most people offering non-genuine headsets usually have a full range of those – Jabra, Nokia, Motorola
4. Check if the seller states anything about warranty. If not, ask explicitly if the device comes with Original Manufacturers Warranty. A lot of the sellers offer warranty, but usually it is their own and if something happens a few months down the road, no one knows if they will honor it.
5. ALWAYS use Paypal or Credit Card. We actually disputed one of the fake purchases with PayPal and we got our money back!
6. Be aware of sellers from Hong Kong or Chine, as almost all of them offer fake items.
7. The only way to be 100% sure you are getting genuine headset, is to purchase it directly from Motorola or Nokia. The second best option is to get it from a large, reputable retailer such as Buy.com, New.com, Best Buy etc
   

Whatto do if you already have purchased a counterfeit device?

If the purchase was recent, as statedbefore, the best way is to dispute it with PayPal (as we did) or your creditcard company. In most cases, you will be refunded the full amount you paid,including shipping.

The second option is to file Online FraudComplaint Reporting Form with Ebay. All claims must be received by theClaims Administrator within 90 days of the closure of the listing to be valid.The maximum coverage is $200 per item, minus $25 for processing costs. So if theprice is $100, you will get $75.

If you feel like the Good Samarian, you canreport any suspicious item here:

http://pages.ebay.com/help/policies/replica-counterfeit.html

We did report about five auction sellingwhat we suspected was counterfeit and the next day the auctions were takendown.

In case longer period has passed, the otheroption is to contact the seller (if they still exist) and ask for a refund.

According to Title 18 of United States Code,the term counterfeit mark means a spurious mark:

1)that is used in connection withtrafficking in goods or services;

2)that is identical with, orsubstantially indistinguishable from, a mark registered for those goods orservices on the principal register in the United States Patent and TrademarkOffice and in use, whether or not the defendant knew such mark was soregistered; and

3)the use of which is likely tocause confusion, to cause mistake, or to deceive

18 U.S.C. §2320(e)(1).

The StopCounterfeiting in Manufactured Goods Act (H.R. 32) which became a law onMarch 16, 2006, criminalizes the possession of counterfeits with intent todistribute, as well as the importation and exportation of counterfeit goods. Also,the stature subjects to forfeiture any article that bears or consists of acounterfeit mark, and any property derived from proceeds or used in thecommission of the violation.

The penalties for whoever intentionallytraffics goods or services and knowingly uses a counterfeit mark on or inconnection with such goods or services shall, if an individual, be fined notmore than $2,000,000 or imprisoned not more than 10 years. The fine is evenhigher for a company – $5,000,000.

Quoting the above usually get thecounterfeiters moving and expedites your refund. After you get it, you can openan official investigation with the Internet CrimeComplaint Centerwhich is apartnership between the FBI and the NationalWhiteCollarCrimeCenter.Just in 2005, the IC3 processed more than 228,400 complaints, from which 97,076were referred to federal, state or local law enforcement agencies for furtherconsideration. Auction fraud was by far the most reported offence, comprising62.7% of referred complaints.

Whatis the Ebay’s stand on counterfeits?

Ebay has long used “hands-off” approach toits actions. Pretty much they view themselves as a marketplace where anyone cansetup a stand and sell its products. According to Ebay, they can not be holdliable for trademark violations, simply because they have no way of knowing ordetermining which products are genuine or fake and the actual rights ownersmust notify them.

Whatis Original Manufacturers stand on counterfeits?

The issue here is that manufacturersactually are either not aware of the problem or more likely do not care aboutit. The most widely faked accessories according to Nokia are the batteries, andas they can cause safety concerns, they have established way to check theirauthenticity. Bluetooth headsets, due to their low power consumption, are notviewed as safety risk, hence not in the manufacturers Top priority list for counterfeitinvestigations.

Ebay makes money from fees no matter if theproduct is genuine or not. The manufacturers and their customers are the only partythat is loosing. The sale of counterfeits erodes brand names, as our testsclearly showed the fakes under-perform considerably. In addition, of themanufacturers bear losses from unrealized sales.

We tried to contact Motorola, Jabra andNokia, which our investigation showed are most widely faked. Despite ournumerous requests for comment, only Nokia replied to our questions and actuallyshowed any concern. Jabra only sent us one genuine JX10 for out tests, butnever replied to our questions. We never heard anything back from Motorola.

Here are our questions and Marika Patto (Nokia Enhancement Product Marketing Manager) for which we thank her:

1. Can the accessory’s authenticity be checked online/offline? Only battery authenticity can be checked online. Sometimes Nokia product experts can tell from a photo if it is fake (especially of a photo of the type label information), some times we need to see it to be able to say for sure. There are many levels of quality in the copies. Serial numbers have been known to be copied correctly so they cannot alone be used to determine authenticity.
2. Does Nokia provide warranty to non-genuine accessories? No.
3. Should versions for different markets (US, Asia, Europe) be absolutely the same in quality/packaging/accessories? Packaging is different but has similar visual look in US, Asia and Europe, and also some accessories are different. But for example, Nokia Bluetooth Headset BH-800 products themselves are exactly the same in all markets.
4. What does Nokia do to fight counterfeit distribution? We work actively with customs, law enforcement and local authorities to deter, identify and prosecute counterfeiters all over the world. We have a specialist team that tracks counterfeiting activities globally, and we also cooperate with other companies as most counterfeiters are making also other than Nokia products. Our main focus is in trying to identify the source of the product (manufacturers) rather than going after retailers, as that is more effective in stopping the flow of counterfeit products.
5. Can you provide a list with the most counterfeited Nokia products and what the consumers need to know to distinguish them from the originals? Most counterfeited accessory products are batteries, and as counterfeit batteries can possibly cause safety concerns, we have taken steps to establish a global identification system for batteries, allowing end users around the world to check the authenticity of their battery using an online tool, or in some markets, also over SMS. Bluetooth headset counterfeits are a relatively new phenomena, we have only started to see counterfeit Nokia Bluetooth headsets since this summer.
6. Do you have any estimates on the percentage of counterfeit products (mainly Bluetooth accessories)? It is almost impossible to estimate the percentage of counterfeit products but so far our anti-counterfeiting team has not seen a significant number of Bluetooth products in this market. Asia has seen relatively large numbers of counterfeit products in general and Latin America as well. There has been a few reports of counterfeit BH-800s in Europe. We actually have had no reports of counterfeit BH-800s in the US so far so this could be the first. I would be very interested in taking a look at the headset.
7. Any tips to help consumers make sure they get genuine products? (aside from purchasing directly from Nokia)? Look at the visual quality of the packaging and the product, and also whether the Nokia logo looks correct, purchase from known sources, ie major retailers whether online or in person. Make sure the packaging has the Nokia Original Enhancements logo. Unfortunately some of the counterfeit products are visually unidentifiable and have to be opened up or studied by an expert to be identified.
8. If a consumer suspects that a product they purchased might be fake, who should they contact? The source, ie who they purchased it from. If it is a counterfeit, they can also report it to local authorities for further investigation. But sometimes dealers or retailers are not aware that they are selling counterfeit product, ie they purchased it in good faith from a distributor or other source.

In a nutshell, if you have purchased a counterfeit, Nokia will not render any warranty service. Currently, the authenticity of a headset can not be checked online, as there is no such system developed. According to Nokia, they have not received any reports on fake BH-800 units in the US (they just need to check Ebay ended auctions and will have tens each day).

We hope this article will help our readers become aware of the counterfeit headset issue, as Bluetooth headsets are the most widely sold accessories for mobile phones. Following the steps given will definitely help in spotting the fakes easier, but are not 100% guarantee as counterfeiters constantly improve the design, manuals, boxes and functionality of their clones.

We expect the manufacturers to start more proactively engaging the counterfeiters. As we were able to report to Ebay several auctions for counterfeits and they were taken down very soon, the same way the manufactures could setup teams to do the same. Another step would be setting up a webpage on their sites which would show the same way as we did, the difference between genuine and the fake ones.

Until that happens, the consumers have to rely on their vigilance and sites like PA.