Apple To Pay Up To $500M As Part Of Throttling Settlement

Apple To Pay Up To $500M As Part Of Throttling Settlement

Assessment

Interactive Video

Business, Architecture

University

Hard

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Apple faced accusations of throttling older iPhones to push sales of new models. To avoid litigation, Apple agreed to a settlement, offering up to $25 per affected customer, with a minimum payout of $310 million if claims exceeded $500 million. Apple explained the slowdown was to prevent unexpected shutdowns due to degrading batteries, not to drive sales. They offered discounted battery replacements and introduced a performance management feature, allowing users to control system speed. Apple denied intentionally degrading performance to encourage upgrades.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What was the main reason Apple agreed to settle the lawsuit regarding iPhone throttling?

To increase sales of new iPhone models

To improve customer satisfaction

To prevent further litigation and court costs

To avoid negative publicity

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Why did Apple claim it slowed down older iPhone models?

To encourage users to upgrade to newer models

To prevent unexpected shutdowns due to battery issues

To comply with new software regulations

To enhance the performance of older devices

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What solution did Apple offer to address the battery issues in older iPhones?

Trade-in programs for newer models

Extended warranty periods

Discounted battery replacements

Free software updates

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What feature did Apple introduce to give users control over their phone's performance?

Customizable user interface

Automatic software updates

Performance management feature

Battery health monitoring

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How did Apple respond to accusations of degrading phone performance to boost sales?

They offered compensation to affected users

They denied the accusations

They admitted to the practice

They launched a new marketing campaign