Apple has agreed to pay C$14.4 million to settle a case in Canada related to the throttling of iPhone performance. The settlement comes after an investigation by the Competition Bureau of Canada into Apple's practice of slowing down older iPhones through software updates.
The issue first came to light in 2017 when Apple admitted that it had released software updates that intentionally slowed down the performance of older iPhone models with aging batteries. The company claimed that this was done to prevent unexpected shutdowns due to battery degradation.
Following widespread criticism and legal challenges, Apple apologized for its lack of transparency and offered discounted battery replacements for affected customers. However, the company faced multiple lawsuits and regulatory investigations around the world, including in Canada.
As part of the settlement, Apple has agreed to pay C$14.4 million and provide a C$5 million payment to cover the costs of the Competition Bureau's investigation. In addition, Apple has committed to providing clear and easily accessible information to consumers about iPhone performance management and battery health.
The Competition Bureau noted that this settlement serves as a reminder to all companies operating in Canada that they must provide accurate information to consumers and cannot mislead them about product performance or features. The Bureau also emphasized the importance of transparency and fair treatment of consumers in the marketplace.
Apple has not admitted any wrongdoing as part of the settlement, but the company has agreed to enhance its compliance program and ensure that its marketing practices comply with Canadian law. The settlement is subject to court approval, and if accepted, the funds will be used for consumer compensation and the costs of the investigation.