Apple fined in Australia for false claim

Tech giant Apple has been fined $2.5 million dollars for misleading the public and its followers by claiming that the latest iPad is compatible with the 4G broadband network.

An Australian judge handed down the verdict and enforced the hefty fine to Apple.

Federal Court Justice Mordy Bormberg found that Apple, by marketing their latest tablet as ‘iPad with WiFi + 4G’, breached Australian consumer law. This is because Apple’s latest tablet could not directly connect to the Telstra LTE mobile data network in the country.

According to Justice Bormberg, “The conduct concerned was deliberate and very serious. It exposed a significant proportion of Australian consumers of tablet devices to a misleading representation.”

Apple was informed by Telstra that was not compatible with their 4G network. Nevertheless, Apple marketed their product as is and didn’t replace it.

Justice Bormberg added that Apple’s desire for global conformity isn’t an excuse to mislead the people into believing otherwise.

“The fact of the litigation and the media attention which it has drawn, will no doubt be a sobre reminder to Apple, and others who rely on their brand image that, as well as a penalty, there will likely be an intangible cost involved in a contravention of the Australian consumer law,” he said.

Was it a fair for the Justice to hand Apple the fine?

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Apple prepares to refund its customers in Australia

Apple is currently having problems in Australia and has decided to email all Australian buyers of their new iPad for their refund. This was according to the company’s lawyer after Australia’s consumer watchdog blamed the company for misleading information regarding one key aspect of their latest device.

The Australian Competition and Consumer Commission has filed a suit against the company to make sure Apple is letting their customers know that its latest iPad cannot connect to a 4G mobile data network in the country due to some technical incompatibility.

Apple is promoting their latest contraption as the iPad with Wifi+4G. Unfortunately, Australia has only one 4G network which is Telstra. The company’s 4G operates on a different frequency to the 4G of the new iPad.

The watchdog criticized Apple for misleading their clients and wants the court to force Apple to change their advertisements, refund affected buyers and impose penalties.

Paul Anastassiou of Apple told the Federal Court in Melbourne that the company is willing to send email notifications to those who bought their iPad to offer them their refund.

This is another snag for the company who is reportedly generating a lot of sales for their latest device.

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