Apple iPhone Action Settlement
If you are an owner of an older iPhone model, you may be entitled to receive $65 after a judge approved Apple to pay owners in a class-action lawsuit. In 2020, Apple agreed to pay up to $500 million to resolve the lawsuit accusing the company of secretly throttling iPhone performance.
How Apple acted is considered by many as one of the largest consumer frauds in history. It slowed down the performance of some iPhone models just to resolve problems with processors and batteries.
The plaintiff claimed that the company failed to warn users how the iOS updates would throttle the phone’s processing speeds.
Although the company agreed to pay, it did not admit fault. If you submitted a claim before October 6, 2020, you will receive $65.
Apple will pay between $310 and $500 just to settle the case. The total amount will vary on the number of approved claims. Currently, it is at three million. More claims still need to be processed.
If you are an eligible iPhone user, you may receive your payout between late 2023 and early 2024.
In December 2017, some older iPhone models experienced performance slowdowns when their batteries were degraded or had lower capacities. This discovery led to allegations that the company intentionally slowed down older iPhones to encourage users to upgrade to newer models.
The controversy sparked public outrage and led to various legal actions against Apple.
Users felt that Apple did not adequately communicate or disclose that performance throttling was being implemented in some iPhones. Many users were not aware that battery degradation could lead to performance issues.
Users noticed that their older phones were becoming slower and less responsive over time. They attributed this slowdown to intentional actions taken by the company to reduce performance.
Around the same time that the controversy arose, Apple launched a discounted battery replacement program for certain iPhone models. Some users believed that the company intentionally slowed down the phone to push users to buy new batteries or upgrade to new models.
Apple stated that the slowdowns are not intended to force users to upgrade but were a measure to prevent unexpected shutdowns in older iPhones with degraded batteries. When a battery’s capacity drops below a certain threshold, it may not be able to deliver enough power during peak performance, as a result, the device shut down to protect its internal components.
To address these concerns, the company introduced an iOS updatea that included an option to disable performance throttling. Users could now choose between having their iPhones operate at peak performance with the risk of an unexpected shutdown. Or they can let the overpaying system manage to prevent shutdowns.
While Apple’s intention was to improve device stability and user experience, the lack of transparency and communication led to user accusations of international performance throttling. The incident highlighted the importance of clear communication between tech companies and their users.
The active litigation lasted for five years against one of the biggest tech companies in the world.