Citing a source "close to Apple with direct knowledge of the numbers," TechCrunch is reporting that the company who makes the iPhone 3G for Apple, Foxconn, is pumping them out a rate of 800,000 phones a week. At that rate, that's 40 million iPhones a year. Dandy, except that TechCrunch says "there may be some concerns with quality control."

So it might not be your imagination if your phone acts like it came across the ocean on the back of a diseased water rat. Worse, 40 million was the upper limit of Foxconn's demand estimate for the year, but they've been told to set it a lot higher, meaning they're going to be building them even faster. So, it's probably not going to get any better. Just remember to cross your fingers before you open the box. [TechCrunch]