I'm completely baffled as to how they think they can hide or explain away this?
Maybe it's to late to back down now, having invested so much into marketing already. I'm a bit cynical now perhaps but I think they are just stalling, maybe they will do some more waffling after a while. To someone who doesn't know electronics it will be their word against your, and some people believe what they want to believe.
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I don't know what's wrong with people but there is some interesting psychology going on in when it comes to swindlers.
There was this big scam here in Sweden a few years ago. An Italian guy called Andrea Rossi managed to bamboozle two tenured physics professors and a journalist at the largest technology newspaper here in Sweden into believing he had invented a cold-fusion device (e-cat) that could solve all the worlds energy problems.
No-one was allowed to test it at first, and then finally only with the guys own test equipment. Didn't matter that other physicists pointed out that if it worked the way they suggested, everyone monitoring the test would die from radiation poisoning the day after...
After more than a year another journalist finally decided to do some real work and quickly discovered the guy was a well known criminal in Italy and had done a similar scam in the 80:s when he claimed he could convert toxic waste into oil. He made a ton of money by taking care of other companies waste products. In the end it turned out he had just been dumping it.