"AS IS" iPhones

An "AS IS" iphones are devices that were either returned by consumers within the 30 day money back period that Apple Stores offer, or were traded in via an Apple Store, authorized retailer, or authorized wireless carrier, then tested and categorized by an Apple authorized Level 3 service center or a third party reverse logistics organization that specializes in the return of high volume Apple devices. Most devices that are traded in either at an Apple Store or wireless carrier are processed in this manner. Devices are data wiped, cleaned, tested for functionality, and put into categories based on their physical appearances. Then Apple uses 3rd party wholesale companies to redistribute these handsets, and thus this is why many have a "service date" of April 1978. iPhones didn't exist back then, and probably only Steve Jobs knew why this date was chosen. These devices are not meant for direct sales to consumers, but to dealers that would add additional value, by offering their own warranties and bundled services or accessories, and these devices would eventually find their way into consumers hands. Sometimes by way of a insurance replacement, or through a corporate entity where an older model company provided handset may be more economical than buying a brand new current model handset.