Apple, Australian Consumer Agency Mediation Breaks Down
Shortly after the launch of the new iPad last month we brought you news that Apple had drawn the ire of the Australian Competition and Consumer Commission for its marketing of the tablet’s 4G capabilities in Australia. While the new iPad is compatible with 4G LTE networks currently in use in the U.S. and Canada, it does not work on Australia’s one 4G network, which is owned by Telstra, and operates on a different band than those run by American and Canadian carriers.
In order to stave off a lawsuit, Apple changed its marketing of the new iPad in Australia, and began issuing refunds to those who felt they’d been misled by the advertising. The company also entered into mediation with the ACCC in hopes of reaching an out-of-court settlement.
Now, however, it looks like the case will be proceeding to court. According to a report this morning from the Sydney Morning Herald, the mediation session concluded after about two hours with no agreement reached between the two parties. According to the report, one of the ACCC’s requirements was that Apple change the name of the device, which is still listed as the iPad Wi-Fi + 4G on Apple’s website (despite a disclaimer stating the iPad’s incompatibility with Telstra’s network):
A court hearing later in the day was set to determine the next step in the case.
What do you think? Should Apple be required to take “4G” off the iPad’s name in Australia? Let us know in the comments.