Apple’s TROUBLE Down Under: Is It Finally Over?
Apple (NASDAQ:AAPL) is preparing to settle its argument with the Australian government over allegedly misleading iPad consumers in the country by agreeing to pay $2.25 million in damages. According to The Australian, Apple told a federal court it would pay the amount to the Australian Competition and Consumer Commission in return for an end to problems associated with the sale of the tablet in the country since March, when the watchdog organization first initiated action.
The commission had claimed that Apple had advertised that the third-generation iPad was 4G-compatible even though the device could not support LTE networks in the country. In response, Apple updated the marketing copy on its website to include a clarification, and also announced last month that it would provide refunds to any customers who may have been misled. The settlement is yet to get final approval from the judge. Apple is also expected to pay an additional $300,000 to cover legal costs for the body.
Wireless providers Telstra and Optus also started informing consumers about the lack of support for 4G in Australia after the case gathered momentum. The issue of the iPad’s 4G compatibility has also received attention in New Zealand, the UK, Italy, and Sweden among other countries.