Apple agrees to pay $500m settlement for slowing down iPhones
Older iPhone owners in the US could get $25 per handset after Apple agreed to pay a $500m (£391m) settlement on Monday for slowing down smartphones without telling customers.
A select group of consumers raised the lawsuit after Apple admitted in 2017 that its engineers had released a software update that “throttles” the performance of iPhones when the battery begins to degrade.
The Cupertino-based company said the feature was introduced in the best interests of consumers as it helped to prevent unexpected shutdowns.
However, critics say the move was a “deceptive commercial practice” and lawyers representing a select group of customers raised a class action lawsuit.
Apple still denies any wrongdoing, but it has acquiesced due to potential costly legal fees.
US owners of seven iPhone models including the iPhone 6, iPhone SE and iPhone 7 will now be eligible for a $25 payment if they file a claim.
Lawyers said the settlement, which could be worth between $310m (£243m) and $500, was “fair, reasonable and adequate”, though it will seek a further $93m for legal fees.
The deal also needs to be approved by California-based US district judge, Edward Davila.
It ends several years of wrangling and attempts by Apple to quell the fallout.
The company did previously apologise and offer customers a discounted rate for a replacement battery.
However, many said they had already been forced to upgrade to new devices as they were misled into believing that their current iPhones were either defective or not working as normal.