Tag Archives: class action law suit

Apple Wins Class Action Law Suit – iPod Updates Were Genuin Improvements

Apple has won the class action law suit which could have resulted in the Cupertino company paying $1 billion.

The jury took only three hours to rule in favor of Apple. Consumers and retailers were looking for compensation as they claimed Apple abused their dominant position in the digital music space as they ensured iTunes music could only be played on the iPod and they also blocked other services with ongoing updates which Apple has said all along were simply updates to improve the iPod.

The jury agreed and also dismissed claims that the Apple strategy resulted in inflated prices for the iPod.

Apple said the following in a statement:

“We created iPod and iTunes to give our customers the world’s best way to listen to music,” Cupertino, California-based Apple said after today’s verdict. “Every time we’ve updated those products — and every Apple product over the years — we’ve done it to make the user experience even better.”

Steve Jobs Emails Shown As Evidence In Class Action Law Suit

The class action law suit which could cost Apple $1 billion started yesterday and emails from Steve Jobs were used as evidence to show that Apple apparently abused the marketing leading position they had in the digital music space.

Plaintiffs’ attorney Patrick Coughlin showed an email from 2003 in which Steve Jobs wrote “We need to make sure that when Music Match launches their store, they cannot use iPod”.
In another email from 2005, Steve Jobs simply said “We need to change things here” when he became aware of a Real Player introducing a program which would enable users to buy music anywhere and play them on the iPod.

The attorneys argue that by locking the iPod, Apple was able to charge an unfair high price and it also stopped users from considering music players from other brands when upgrading as they could not move their purchased music with them.