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Report: iPhone 4 burst into flames, faulty USB port blamed

The above picture is from from Boy Genius Report, who claim they received it from an AT&T Store employee dealing with a customer who said their iPhone 4 had spontaneously burst into flames. As you can see above, the adapter cable is completely melted, and the iPhone's stainless steel antenna band is charred. The customer said his hand was burned, and the adapter cord itself burned up, too.

The AT&T store in question was apparently out of iPhones at the time, but otherwise it would have gladly exchanged the unit for a new one. Supposedly the problem was in the USB port on the computer the iPhone was attached to, so this is likely an isolated incident, not a problem with any standard hardware. But the devastation is pretty amazing -- there must have been quite a bit of power flowing off into that USB cable.