The USA Today is reporting that the latest iPhone firmware which was released yesterday aims to fix issues related to 3G signal strength.

The newspaper cites reported from iPhones users who state that they are experiencing issues with calls being dropped. The newspaper goes onto speculate that this could be an hardware issue with the Infineon chip used within the iPhone; a possibility that Infineon itself has stated as unlikely.

The article explains that the iPhone 2.0.2 update released yesterday aims to fix the reported issues by addressing how quickly the iPhone 3G will drop a weak 3G signal and begin using a stronger EDGE signal. Often resulting in dropped calls and frustrated users.

Apple spokeswoman Jennifer Bowcock said on Tuesday, “The software update improves communication with 3G networks.”