Went to the Apple Store. They said it was accidental and offered to fix it for $700-800.
Looks like I have to sell it, and cut my losses, or continue to use it (since it works perfectly if the screen is at 90 degrees)
I'm making no comment about this *particular* case, other than that it's hardly unique. I'm afraid Apple's attitude toward avoiding admitting faults and finding excuses to avoid service is why I've recently left Apple and do not see any likelihood of going back.
I had a 3 month old Rev B Air which was in absolutely perfect cosmetic condition and had been looked after very carefully. It *was* dropped (slightly, in a case) when it was a week old which did a *tiny* amount of cosmetic damage to the screen edge as far away from the hinge as possible), but I paid huge amounts of money to have the screen replaced on the express condition that I was doing this in order to ensure that everything was still under warranty, i.e. that they wouldn't refer any *future* problem to the drop. There was no problem with this.
However, they actually made it much worse with the repair. They bent the bottom plate of the laptop, and after they repaired it the screws in the baseplate never tightened properly again, though I didn't notice these things immediately I took it back into the store a couple of days after I got it back. The manager agreed that since I couldn't afford to be without the computer at that time, I could bring it in in future. Alas the 'genius' bar know better (the same genius bar that has told me so much blatantly incorrect information over the past few months I've given up expecting them to know anything). Also, in the ensuing couple of months it rapidly developed wobble/play in the hinge that was not present prior to the repair (even after the drop, which did not in any case distort the case or hinges at all anyway).
Suffice to say that damage *they* caused required immense amounts of patient and polite argument on my part to get them to even look at it. They were astonishingly patronising and kept saying that I caused all of this when I dropped it, despite none of these problems existing AFTER I dropped it when they took it in (I still have the repair authorisation sheets with the details).
Finally, as the hinge got worse and worse, such that it was unusable on a train due to the wobbling, they turned round and said that they wouldn't fix it because this was normal, and it was intended to be like that. Their justification for this was that the one single Air they had on display was also like this - which indeed it was (this is a bad sign too!), with lines on screen (which they denied point blank was an issue for anyone - do they seriously expect us to believe *That* is a rare issue???? they seem to have a policy of denying anything that is written about in forums, no matter how extensively, or the fact that I was standing in the shop *pointing* at it) and loose fitting screws. They literally claimed that ALL Airs are like this from the word go because that's how they're designed. They were in no way interested in the utter illogicality of their position, given that many people have Airs that *aren't* like that, and my own was not like that when I bought it. They just said I was wrong about that.
Funnily enough, I was not satisfied with this service, particularly on four figures laptop with applecare.
On the day I went into the store it was my intention to buy an iphone, as it was I paid for repair, sold the Air, bought something else non-Apple and a non-Apple smartphone, and a Sony S series mp3 player (which comes with fantastic headphones and sounds superb, even if its interface doesn't have *quite* the finesse of the nano). At this point I am so disillusioned I can't actually think of anything that would make me feel like I wasn't just setting myself up to be shafted if I bought another Apple product. I have been an Apple customer for a very long time and have often defended them against other people complaining. I'd bought 4 apple laptops in the past year alone, and around 20 in total, plus two desktops, for various people and purposes, and a total of 6 ipods, plus two printers, a scanner, several copies of Office etc, almost all from Apple stores. They don't care. In my experience if they can possibly find an excuse to not give you service (once it's out of the two week replacement/return opportunity) they will. And let's not mention the lines, or the creaking trackpad. I bought an Air because I wasn't happy with the build quality of my previous plastic macbooks and because I can't abide the mirror screens on the new ones. I was quite prepared to pay a premium, and would have also upgraded as soon as a Nehalem/4GB version came out. It was, frankly, a beautiful laptop - I still adore its design, I still like OS X, but after 3 months it felt like it wouldn't even last a year, and it was the only remaining Apple computer I wanted.
This may of course vary hugely by the Apple Store, but that's not much comfort - if you spend that kind of money on a computer, you need to be able to trust it and the service that comes with it. Given my own experience watching it seemingly fall apart in front of my eyes, and reading about these cracked hinges, and listening to the distraught man next to me at the genius bar with his week-old iPhone that had stopped working that he insisted hadn't been near water (there are enough of these people that even if some are trying it on, some must be telling the truth!), and having recently watched my friend send in her macbook for the eighth time for random overheating and shutdowns and they won't replace it, it all just turned sour. It's not that I necessarily assume the customer service *Will* be better elsewhere (though there's a very good chance - it could hardly be worse) but if my new Toshiba laptop (which is lighter than a MacBook, though of course can't keep up with the Air's weight, but has a nicer screen than either, plus e-sata, firewire, 3 usb ports, HDMI, etc) does have a problem, it was £500 so I won't care half as much and there are plenty of other companies to move to.
If anyone wants to call me a troll, that's fine. I really don't care. I'm not a troll. I'm simply reporting my experience. I'm very saddened by the whole thing on my own behalf. For everyone else that buys and is happy with Apple stuff, and for all the (many people, judging from surveys) who get good service, great - enjoy
I also, very much, hope that Apple continue to make nice products and do well, but I struggle to see how I could ever have sufficient confidence to buy from them again.
And I do think this kind of experience deserves reporting.
And yes, I did make a complaint (entirely polite, reasonable etc) several weeks ago. They haven't even bothered to reply.