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Apple Under Multi-State Bipartisan Probe Over Alleged Slowing Down Of Older iPhones: Report

Apple Under Multi-State Bipartisan Probe Over Alleged Slowing Down Of Older iPhones: Report

Apple Inc. (NASDAQ: AAPL) is under investigation from multiple states led by Arizona over the sluggish performance of older model iPhones, Reuters reported Wednesday.

What Happened: The investigation, dating back to 2018, revolves around iPhones experiencing “unexpected shutdowns” as well as Apple’s slowing down of the devices through the power management software on iOS, according to documents seen by Reuters.

A majority of U.S. states, both Republican- and Democrat-led, are reportedly working together on the probe.

Why It Matters: Apple has issued an explanation about battery aging, performance, and unexpected shutdowns related to its older model iPhones.

The smartphone maker claimed that iOS “dynamically manages” performance peaks to prevent shutdowns on such devices.

The slowing down of the devices led to speculation that it was done to encourage users to purchase newer devices and caused the Tim Cook-led company to offer discounted battery replacements, Reuters noted.

In March, the Cupertino-based tech giant settled a $500 million lawsuit, which alleged it slowed down older iPhones.

The company has also been fined $27 million in France for not informing iPhone owners that their devices would slowdown on the installation of iOS updates.

Cook appeared before the House Antitrust Subcommittee on Wednesday to answer questions related to the legislators' probe into the company’s alleged anticompetitive practices.

Price Action: Apple shares closed 1.9% higher at $380.16 on Wednesday and further added about 0.2% in the after-hours trading.

Photo by Mia Baker on Unsplash.


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