Apple has initiated payments in a notable class action lawsuit in the United States, addressing claims that the company intentionally slowed down certain iPhone models. The lawsuit, which has been ongoing, has culminated in complainants receiving a portion of a $500 million settlement, averaging about $92 per claim.
This settlement, agreed upon by Apple in 2020, was reached amidst the tech giant’s denial of any wrongdoing. Apple’s decision to settle was influenced by concerns over the escalating costs of continued litigation.
Parallel to the U.S. lawsuit, a similar legal battle is being waged in the UK, where claimants are seeking £1.6 billion in compensation. This case has its roots in a revelation made by Apple in December 2017. The company admitted to deliberately slowing down older iPhone models, a suspicion long held by many iPhone users. Apple justified this action by stating it was a measure to extend the lifespan of the phones as their batteries aged and their performance declined.
However, this admission sparked significant backlash, as it was perceived that Apple had reduced the performance of certain iPhones without adequately informing its customers. In response to the uproar, Apple offered a discount on battery replacements to address the issue.
At the time of the U.S. settlement, expectations were set for a relatively low payout per individual, but the actual amount disbursed has turned out to be nearly four times higher.
Meanwhile, in the UK, Apple’s efforts to block a similar mass action lawsuit were unsuccessful last November. The UK case, initiated by Justin Gutmann in June 2022, represents approximately 24 million iPhone users. Apple has staunchly defended its actions, stating the lawsuit is baseless and reiterating that the company has never intentionally shortened the lifespan of its products or degraded user experience to prompt upgrades.
Gutmann, commenting on the developments in the U.S., noted that while it’s a moral victory, it doesn’t directly impact the UK case, as Apple hasn’t admitted any fault but merely settled. He expressed his determination to continue pursuing the UK class action, which is set to be reviewed next by the Court of Appeal. Gutmann anticipates that the trial could occur in late 2024 or early 2025, indicating a lengthy legal process ahead.
