Steve Jobs was very proud of Apple's external antenna design when the iPhone 4 was revealed on stage in June. At the time, most figured that the massive antenna wrapped around the phone would be a good thing, but we've since learned that it's the Achilles heel to the iPhone 4.
Apparently, this design flaw wasn't something that Apple was completely oblivious to. According to Bloomberg, Ruben Caballero, a senior engineer and antenna expert at Apple, informed company management last year that the external band antenna could adversely affect reception.
One of Apple's carrier partners also reportedly raised concerns – prior to the phone's launch – about how the external antenna would affect reception.
Apple made no comment on the report and would not make Caballero available for an interview.
Hopefully all will be sorted at tomorrow's iPhone 4 press conference.