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Apple issues statement on iPhone 4 'antenna-gate' lawsuit settlement

After settling a class-action lawsuit over the "antenna-gate" controversy that surrounded the iPhone 4 in 2010, Apple has issued a statement declaring the $15 payouts apply to a "small number" of people.

"This settlement relates to a small number of customers who indicated that they experienced antenna or reception issues with their iPhone 4 and didn't want to take advantage of a free case from Apple while it was being offered in 2010," Apple spokeswoman Natalie Harrison said in a statement to The Loop.

The settlement offers users either a free iPhone bumper case, which the company sells for $29, or they can instead opt to receive $15 in cash. Those who held out for the lawsuit essentially gain nothing, as Apple's original settlement to users in 2010 was to give away free bumper cases to iPhone 4 buyers as well.

In fact, though the iPhone 4 free bumper case program technically ended on Sept. 30, 2010, Apple quietly still offered free cases after that deadline to customers who contacted AppleCare support with reception issues. Those involved in the lawsuit only gain the new option of accepting $15, which is about half the value of the bumper case.

Apple's settlement applies to 18 separate lawsuits that were drawn together into one class-action complaint. Apple was accused of "misrepresenting and concealing material information in the marketing, advertising, sales and servicing of its iPhone 4."

Apple initiated the giveaway after complaints about loss of signal when covering the bottom left corner of the iPhone 4 gained a considerable amount of media attention. Apple responded by stating that all smartphones experience some form of attenuation when held in a certain way.



120 Comments

tallest skil 14 Years · 43086 comments

Quote:
"This settlement relates to a small number of customers who indicated that they experienced antenna or reception issues with their iPhone 4 and didn't want to take advantage of a free case from Apple while it was being offered in 2010," Apple spokeswoman Natalie Harrison said in a statement to The Loop.

This is what I don't get.

"We offered customers a free case to solve a problem that didn't exist. They wouldn't shut up, so after a year and a half of wasting our time and theirs, we're giving them the same offer again."

They had their chance. They shouldn't be given squat.

shaun, uk 18 Years · 1050 comments

Quote:
Originally Posted by AppleInsider

The settlement offers users either a free iPhone bumper case, which the company sells for $29, or they can instead opt to receive $15 in cash.

Wonder how much the parasite lawyers got.

ireland 18 Years · 17436 comments

It was a bad design for those who use no case, but most people do and the 4S even fixed the issue for those that don't. Steve was arrogant about it though, which rubbed a lot of people the wrong way, even John Gruber.

ireland 18 Years · 17436 comments

Quote:
Originally Posted by Shaun, UK

Wonder how much the parasite lawyers got.

We all know this is the real reason the lawsuit happened. What can you do.

greginprague 13 Years · 492 comments

Quote:
Originally Posted by Tallest Skil

This is what I don't get.

"We offered customers a free case to solve a problem that didn't exist. They wouldn't shut up, so after a year and a half of wasting our time and theirs, we're giving them the same offer again."

They had their chance. They shouldn't be given squat.

Except for the obviously high sunk cost of the legal fees it sounds like this shouldn't cost Apple much at all. Most people already took advantage of the free cases nearly 2 years ago. The cases cost Apple less than $15 to produce so I imagine that regardless of which option the people in the class chose the total cost to Apple will be less than $2 million. I can't believe that even 100,000 people pursued legal action over the initial offer of a free case.