Apple Faces $2 Million Fine over '4G' iPad Marketing in Australia

MacRumors

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Original poster
Apr 12, 2001
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Dow Jones Newswires reports that Apple is facing a fine of roughly $1.9 million to settle a case brought by Australian regulators over Apple's use of the "4G" term in marketing for the new iPad when the device is not compatible with such networks outside of the United States and Canada.
A federal court in Melbourne heard Friday that Apple had agreed to pay A$2.25 million to settle a case brought against it by the Australian Competition and Consumer Commission. The company also has agreed to pay the commission's costs of A$300,000, commission lawyer Colin Golvan told the court.
Specifically, Australian carrier Telstra has rolled out a 4G LTE network, but due to differences in frequencies used in various countries, the new iPad does not support Telstra's 4G network and must rely on 3G connectivity.


Apple has taken several steps to address the issue internationally, clarifying the language on its site discontinuing the "Wi-Fi + 4G" descriptor on a worldwide basis in favor of "Wi-Fi + Cellular".

Article Link: Apple Faces $2 Million Fine over '4G' iPad Marketing in Australia
 

Snowy_River

macrumors 68030
Jul 17, 2002
2,519
0
Corvallis, OR
Weird. Regulators sound confused, retarded gov't types strike again.

Quick google reveals an article from ZDNET Australia... Telestra, Optus, and Vodafone are 4G/HSPA+ networks.
http://www.zdnet.com.au/vodafone-goes-hspa-before-4g-launch-339332404.htm
Uh... What's your point? Their networks are not compatible with the new iPad, so there is no service in Australia that can connect with the iPad's 4G hardware. Thus, the iPad effectively doesn't have 4G. That's the point.
 

FakeWozniak

macrumors 6502
Nov 8, 2007
428
27
The problem as I understand it.

Company X makes a device that is Nth generation compatible.
They sell it in Country Y which is at N-1th generation network.
Citizens of Country Y complain because their N-1 network is old technology.
Citizens of Country Y can still use the Nth generation device in other Nth generation network countries.

Aussies, stop whining and spend your legal dollars on upgrading your networks.

----------

Uh... What's your point? Their networks are not compatible with the new iPad, so there is no service in Australia that can connect with the iPad's 4G hardware. Thus, the iPad effectively doesn't have 4G. That's the point.
Complete crap. A 5G phone is still a 5G phone whether there is a network it works on.

Analogy, is a BlueRay disc still a BlueRay disc if you don't have a BlueRay player, but instead only a DVD player?
 

HangmanSwingset

macrumors 6502
Feb 28, 2011
320
210
Everett, WA
I would blame the carrier for using a different frequency. It's the same reason I don't have any sympathy for T-Mobile in the US when they cry about not getting the iPhone. At least T-Mobile is trying to fix the problem themselves.
 

Matariel

macrumors member
Jan 21, 2009
78
1
The problem as I understand it.

Company X makes a device that is Nth generation compatible.
They sell it in Country Y which is at N-1th generation network.
Citizens of Country Y complain because their N-1 network is old technology.
Citizens of Country Y can still use the Nth generation device in other Nth generation network countries.
Incorrect.

The issue is that the "4G" iPad cannot connect using frequencies that are used for 4G in Australia. The 4G networks in Australia aren't "old technology", they're just using a different frequency.
 

Kaibelf

Suspended
Apr 29, 2009
2,445
7,436
Silicon Valley, CA
Apple will just increase the prices of everything sold in Australia to pay for the fine (i.e. pass it on to the Australian consumer).
Frankly, if they do then the Australian consumers deserve it. It's not Apple's fault that ALL of the literature and website clearly state that it's carrier-dependent and that people there were too lazy to actually read.
 

Tea-Aholic

macrumors 6502
Dec 8, 2011
427
39
Melbourne, Australia
Aussies, stop whining and spend your legal dollars on upgrading your networks.


First of all, we do have LTE here, it runs on 1800MHz, which Apple does not support and I would say that hearing Americans whine about their crappy 3G service with AT&T and whoever else operates in your country is also a sign for your people who have one of the highest sue rates to also spend some money upgrading them.
 

G4DP

macrumors 65816
Mar 28, 2007
1,451
3
Frankly, if they do then the Australian consumers deserve it. It's not Apple's fault that ALL of the literature and website clearly state that it's carrier-dependent and that people there were too lazy to actually read.
Apple messed up here. Selling a 4G device to the whole world that only works in 1 country? So the whole world is behind the US?

Almost all 4G networks across the world work on slightly different frequencies.

If an Australian or British company made a claim to something and it didn't work in the US because of a slight difference in technology, you lot we be the first to bitch about it and sue the companies for miss selling.
 

dona83

macrumors 6502
Nov 26, 2004
317
47
Kelowna, BC
Apple messed up here. Selling a 4G device to the whole world that only works in 1 country? So the whole world is behind the US?

Almost all 4G networks across the world work on slightly different frequencies.

If an Australian or British company made a claim to something and it didn't work in the US because of a slight difference in technology, you lot we be the first to bitch about it and sue the companies for miss selling.
Correction, two countries. The new iPad works in 4G in Canada as well.
 

aristotle

macrumors 68000
Mar 13, 2007
1,768
5
Canada
Apple messed up here. Selling a 4G device to the whole world that only works in 1 country? So the whole world is behind the US?
Are you really that myopic? Really?

The iPad 3 works just fine on all of the LTE networks in Canada. :rolleyes:

I think it is pretty idiotic that various countries around the world could not have worked together to agree upon one or two frequency bands for LTE globally and that Verizon LTE is somehow a different 700Mhz band than the 700Mhz band AT&T uses.
 

0098386

Suspended
Jan 18, 2005
21,576
2,909
Better still - support more frequencies? Or the one the rest of the major markets all use?
 

aristotle

macrumors 68000
Mar 13, 2007
1,768
5
Canada
Better still - support more frequencies? Or the one the rest of the major markets all use?
It supports the one the major markets use. Maybe they realized that most of their iPad sales were in the US and Canada and that other markets have fast enough 3G+ speeds to satisfy most consumers in those other regions.
 

the8thark

macrumors 68040
Apr 18, 2011
3,993
873
2 million?
Apple will pay that pocket change to the Australian Government and move on. No story here folks.
 
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