@aayushjaiswal: please don't post such things. This problem is NOT the BB-Chip! This here is an very known issue after water damage! Fact is also, the iPhone 4 don't have the same Baseband Processor as the 3GS, you posted this text in a 3GS question also.
This persons here should check te supply voltages for the Wi-Fi module first. Maybe there are some shorted caps or disconnected lines because the water. |