Both IntoMobile and Gizmodo are both reporting that the upcoming iPhone 4 software update will not be fixing the reception issues that Apple’s newest smartphones has been experiencing since their launch approximately two weeks ago. The source for this little sour tidbit of news? None other than a press release from Apple itself. More on that in a second.

Apple has continually claimed that there is nothing physically wrong with the antenna in the iPhone 4, and conflicting reports have been all over the blogosphere and news. Are the reception problems caused by the iPhone’s apparently misguided signal strength formula that adds two bars above what should be displayed for your phone’s signal strength, or is the problem physical and an unfixable blemish inside the newly designed antenna? No one can seem to agree.

But why are both IntoMobile and Gizmodo claiming that no fix is coming? It all depends on which electrical engineers that you believe and how much you are willing to read into Apple’s new press release on the issue.  According to the release:

“We [Apple] have gone back to our labs and retested everything, and the results are the same— the iPhone 4′s wireless performance is the best [that] we have ever shipped. For the vast majority of users who have not been troubled by this issue, this software update will only make your bars more accurate. For those who have had concerns, we apologize for any anxiety we may have caused.” The report then goes on to say that if you are unsatisfied with your iPhone 4, that you can return it to the store for a full refund without having to pay a restocking fee.  Hmm. What is really going on here Apple?

So is this some elaborate Apple ploy to fix the antenna reception issue without admitting that it screwed up in the beginning, or a coy admission of guilt for releasing a phone that is unable to make or receive calls if you hold it “wrong?” Only the upcoming release of the software update will tell.

In the meantime, let me know what you think. Is the iPhone 4 a reception lemon or simply the victim of software that grossly inflates how much actual reception you have? I am curious to know what you think.