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Following the decision made by the Italian antitrust watchdog, Samsung is facing a fine of 5 million Euros and Apple 10 million Euros, for intentionally slowing down their phones to increase their sales.
In January this year, the Nation’s competition authority launched an investigation on both companies, with the intention of establishing whether they intentionally issued software updates to slow down their products.
According to some users, the installation of windows 6.0.1 update on Samsung note 4 caused the system to slow down, and the same happened when iOS 10 was installed in iPhone 6. The authority has not determined with certainty whether the firms issued the updates intentionally to increase malfunction, thereby increasing sales, or whether it was an indeliberate oversight. What has been established is that they did not inform the users of the effect of the updates on the older model phones, which was a violation of consumer rights.
Both companies have denied the accusations. In December last year, Apple explained that the only reason they advised the installation of the software that ultimately slowed down the phones was to prevent shutting down of older models.
Later the company offered an apology to its customers, reduced the cost of replacing the battery and included necessary information on iOS.
Apple also had an additional accusation against it, which explains why it was fined more than Samsung. According to the Authority, Apple hid some vital information from its customers about the phones, including battery maintenance and lifespan.
The decision was obviously not taken well by both firms, and Samsung has promised to appeal. Its spokesman said that the Software Updates Samsung has been issuing have always been to perfect the customer’s experience and that none of them have been intended to reduce the functionality of the phones, in this case, the Samsung Galaxy Note 4.
The two firms are required to inform their customer’s of the watchdog’s decision on their Italian website.
Surprisingly, this is not the only investigation that has been launched on Apple. Around the same time that the Italian authorities began their investigation, France also opened an investigation into Apple for intentionally slowing down their products. The investigation is yet to be concluded, and according to French Law, deliberately shortening the life of a product with intentions of increasing sales is a crime which can earn you a jail term or a fine of 5% of annual turnover.