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Apple agrees to pay $500 million to settle lawsuits for slowing iPhones

Back in December 2017, it was discovered that Apple was indeed slowing down older iPhones. The company then addressed the complaints by clarifying that the throttling was done to improve user experience on devices with degraded battery performances, which avoided unexpected shutdowns. However, the firm failed to communicate this change that came with the OS update resulting in legal troubles by the way of lawsuits and scrutiny by the U.S. government.

Earlier this month, French regulators fined Apple €25 million for slowing down iPhones. Now, reports suggest that the company may be settling the lawsuits by agreeing to pay up to $500 million. This settlement plan is currently awaiting approval from the U.S. District Judge Edward Davila in San Jose, California. As per the settlement, the company is set to pay $25 per iPhone to consumers, with a minimal payout totaling to $310 million. The $25 figure could increase or decrease depending on the number of approved claims, the report adds.

The proposed compensation is said to cover all current or formers users of the iPhone 6, 6 Plus, 6s, 6s Plus, 7, 7Plus or SE that ran iOS 10.2.1 or later. The iPhone 7 and 7 Plus phones that ran iOS 11.2 or later before 21 Dec 2017 are also covered under the settlement. In the past, the company provided $50 refunds to users of affected devices that got their batteries replaced.

Apple reportedly agreed to settle the lawsuits since it wanted to avoid the added costs brought by the litigation. However, the Cupertino giant denied any wrongdoing. Lawyers of the lawsuits plan to seek up to 30% of the settlement in legal fees, plus up to $1.5 million for additional expenses.

Source: Jonathan Stempel (Reuters) via 9to5Mac

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