This is the exact sand issue my iPhone 6 plus is having. Seems to be related to the active image stabilizer and pointing the camera at anything with a refresh rate such as a 60hz light bulb or a TV.

Yep, I'm getting the same problem. Happened with the ios update this week. Tried the camera directly after the update (was previously working fine). If you put the lens to your ear you can hear it vibrating wildly. Not sure if it's the image stabilization or the focus that is causing the issue. It happens on all apps that use the camera so it's not specific to the built-in camera app. I tried restoring, erasing all contents and settings but it still has the same problem. The problem is constant too and not intermittent. Will post result of today's Genius Bar appointment later.

The Genius Bar replaced my phone with no problems - they said that there were definitely some hardware issues with this.  Here is what the video looked like: http://youtu.be/XKOp8PKNenY

oneZer01 - I have the exact same issue. The only problem is that I bought my phone in Canada while traveling and they will not honor the warranty elsewhere. So I'm stuck with a non-working camera unless I can figure out a way to send it back to Canada. My question is, are you sure that the Apple store replaced the camera? Did they give you your phone back or did they give you a new phone?

I'm trying to figure out if this is a software issue (iOS) or actually a hardware problem which can be solved by swapping out a bad part (the camera).

Well, I'm not onezero01 but I did get the whole phone replaced on the spot - they did not replace only the camera.  Honestly, I don't know if it's a hardware or software issue.  The replacement's camera stopped working too, but it was a different error (it would just freeze halfway through making the camera noise, then crash).  I tried setting it up as a new phone rather than restoring from a backup but it had all kinds of errors.  Got it replaced AGAIN today, so this'll be my third one.  Today's visit to the Genius Bar did not shed any additional light on the problem.  I asked the rep if he knew what all the entries meant in the diagnostic logs but he didn't know.

To answer your Canada issue, are you sure you can't just go into any Apple Store and take care of it?  And if not, I had the extended AppleCare warranty on an older phone and whenever I needed it replaced, they would send one to me in advance then I would ship them the old one back.  I'm not sure if this service is only for AppleCare extended warranty.  Good luck, eh?

Thanks for the reply Scott. The reason I was asking Onezer01 was because he specifically mentioned that they changed the camera and not the phone. Amazed to hear that you are still facing an issue with the new phone. I did go to the store here and they told me I need to take it back to where I bought it.  I didn't get apple care extended but that won't matter since the shipping facility is available but only in the country of purchase. So I can send it back to them in Canada but they will ship the replacement only to an address in Canada.

Since you faced an issue with the replacement(though a different problem), it makes me believe that this might be a software issue. I'm at my wits end at what to do next. Looks like I'm up the creek without a paddle.

Thanks for the reply. I actually spoke with 3 different people and they all told me that since its a device from a different country, the policy is to not touch it. I was surprised to hear that and told them that this policy could be due to the differing LTE bands in different countries. But since this would be a camera replacement, it wouldn't matter if the LTE bands were different. But they refused anyway.

The last option I have is to take it to a 3rd party vendor. If I'm sure it's a hardware problem then it's just a case of having to pay for it. But I wouldn't want to do that till I'm sure it's hardware and that its my last option. Is your phone fine after the change? Unlike Scott who needed to get a new one again!

I am having the same issue with my new iPhone 6 Plus - 128 GB device.  I've noticed slow focus when taking pictures as well as auto-focus issues especially during videos.  I am on hold now to speak with Apple Support.   For the price of this device, I would expect a new replacement promptly.  I'll repost with updates on resolution steps taken.

Blurry video iphone 6 Plus

http://youtu.be/x6AXY9Makqg

@gaurav2508  - I live in Canada.  Not sure if I could be of any assistance and help you out.    Let me know if you think of something. 

@Goldenpath - thanks for offer, though im not sure how you could help. Especially since im located in another country(India). The only think i can think off is if you can find out from a local store if this is a common issue stating you know someone with this issue who is no longer in Canada.

@Hec13 - would appreciate if you let us know of any updates to your situation.

@Onezer01 - can you tell us if  the replacement camera is working fine and have you faced any issues since?

I've been having the exact same problem on the exact same device.

Did Apple fix the issue & replace your iPhone?

I sorta have the same problem as gaurav2508

Got my iPhone through the US Online Store but live elsewhere in the world.

My only option would be to ship it back & hope they replace the device.