Mobile Equipment Identifier codes are enabled on all tablets, which acts like a serial number for accessing a wireless network service. The code is always sent out to the carrier, which after verification authorizes the tablet to go online. The problem is that no two devices can have the same MEID.
This problem prevents the iPad from connecting to Verizon's 3G networks. Apple is replacing the affected units that were already sold with new ones. In-spite of this problem iPad owners should not be worried as this a is minor issue that affects very few units exclusive to the Verizon network in the United States.
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