Apple agrees to pay $500m in lawsuit for intentionally slowing down customers' iPhones in a bid to get them to buy new ones

Apple Inc. has agreed to pay $500 million in settlement, following a lawsuit accusing the company of intentionally slowing down the performance of older phones in order to encourage customers to buy new phones or fresh batteries.

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 A federal judge in California presiding over the group of lawsuits will be asked to approve the proposed settlement at a hearing in early April, according to a court filing on Friday. 

 The tech giant will now offer $25 to any current or former owner of a covered iPhone. Consumers who were named in the lawsuit will receive $1,500 or $3,500, and around $93 million will go toward attorneys plus another $1.5 million or so for out-of-pocket expenses, legal documents indicated.


People who have the iPhone 6, 6 Plus, 6s, 6s Plus, 7, 7Plus or SE running on iOS 10.2.1 are eligible for the settlement. Also eligible are owners of the iPhone 7 and 7 Plus that ran iOS 11.2, or a later version before, the 21st of December, 2017.

The settlement has a minimum payout of $310 million, but the payment is expected to increase to $500 million if more people file claims. 

The litigation centered on stealthy mobile software that slowed phones in the name of avoiding 'unintended power-offs' according to the company.

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