Apple compensates customers following accusations of intentionally slowing down iPhones

Apple has started compensating individuals involved in a class action lawsuit regarding allegations that the company intentionally slowed down certain iPhones in the United States. As part of a $500 million settlement, claimants will receive around $92 per claim. Although Apple denied any wrongdoing, it agreed to settle the lawsuit in 2020 due to concerns over the escalating legal costs. A similar case seeking £1.6 billion in compensation is currently underway in the UK. The US case originated in December 2017, when Apple acknowledged the intentional slowdown of certain iPhones as their batteries aged. While Apple argued that this measure extended the lifespan of the devices, it faced accusations of insufficiently informing customers and consequently offered discounted battery replacements. The settlement initially estimated each claimant receiving as little as $25, but the actual payout is nearly four times higher. In the UK, Apple was unsuccessful in its attempt to prevent a comparable mass action lawsuit in November. The UK case, instigated by Justin Gutmann in June 2022, represents approximately 24 million iPhone users. Apple previously dismissed the lawsuit as baseless and maintained it would never take actions to intentionally reduce the lifespan or degrade the user experience of its products. Unlike the US settlement, which pertained exclusively to iPhone 6 and 7 models, the UK lawsuit also seeks compensation for individuals with iPhone 8, 8 Plus, and X devices. Although pleased with the payments in the US, Gutmann emphasized that they have no impact on the UK case, stating that Apple has not admitted any wrongdoing but simply reached a settlement. He acknowledged the moral victory but stressed the necessity of pursuing the case in the UK jurisdiction. Gutmann added that Apple is vigorously opposing the UK class action, which is currently being considered by the Court of Appeal in response to a request by the company to halt the case. While it is uncertain how the case will proceed, Gutmann hopes that it will reach trial in late 2024 or early 2025.