Apple under fire from governments in both hemispheres over alleged anti-competitive practices

Ben Lovejoy

Apple may face an anti-trust investigation in Europe over its iPhone contracts with carriers as it defends itself against separate investigations for alleged price gouging in Australia.

Apple was informed last year that it would be required to attend a hearing by Australia’s Standing Committee on Infrastructure and Communications to explain why its pricing of digital content was higher in Australia than in the United States. The hearing is now underway, as reported by the Sydney Morning Herald, with Apple asked to explain why content sold through iTunes is marked up between 30 and 70 percent higher than in the U.S. Apple is blaming wholesale pricing agreements in the country.

“The pricing of this digital content is based on the wholesale prices which are set through negotiated contracts with the record labels, movie studios and TV networks,” said Mr King, who is Apple’s vice president for Australia, New Zealand and South Asia.

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Movies and TV Shows oddly disappear from Apple TVs for many users

Jordan Kahn

Several 9to5Mac readers, most of which are located in the United Kingdom, reported that movies and TV shows have oddly disappeared from the Apple TV menu. A thread on Apple’s Support forums confirmed many users are now experiencing the issue.

While the problem originally appeared to only affect users located in the U.K., more reports on Twitter, as highlighted in the selection of tweets below, from New York, France, Ireland, and Australia further confirmed missing icons. One user on Apple support forums claimed Apple informed him the icons would be restored soon and that the stores continue to work in the U.S. and Luxembourg:

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Apple Australia hit with $28.5M in back taxes after questionable use of tax havens

Jordan Kahn

Days after executives from Google, Amazon, and others were grilled by regulators in the United Kingdom over the issue of tax avoidance in Europe, The Sydney Morning Herald reported today that Apple’s Australian arm has been hit with a $28.5 million bill for back taxes in the country:

APPLE AUSTRALIA has been hit with a $28.5 million bill for back taxes, statements lodged with the corporate regulator in April show… News of the Tax Office bill comes as European governments put global technology companies under intense pressure over their complex ownership structures that rely heavily on a network of tax havens… Apple’s Australian arm reaped $4.9 billion in revenue last year through the sale of its computers, iPads and iPhones. The bill takes its total tax tab for the year ending September 24, 2011, to $94.7 million.

Earlier this year, The New York Times profiled how Apple uses tax havens, such as Nevada, Ireland, and Luxembourg, to sidestep taxes in both the United States and Europe. The U.K. isn’t the only country putting pressure on technology multinationals over tax avoidance schemes, SMH also noted the French government requested $252 million USD in back taxes from Amazon, a company that also uses Luxembourg as a tax haven for its Europe operations, earlier this week. Read more

Apple patent covers hidden biometric sensor, fingerprint tech for security & wallet applications

Jordan Kahn

With Apple’s $356 million purchase of mobile security firm AuthenTec, for its nearly 200 patents covering fingerprint and sensor technologies, there has been a lot of talk about how Apple might integrate the technology into future devices. Adding to the rumors are recent reports that Apple signed a deal with Sydney, Australia-based Microlatch to develop NFC apps using its fingerprint authentication tech. Today, we get a look at some possible areas Apple might be exploring with the technology thanks to a patent application published by the U.S. Patent and Trademark Office and detailed by Patently Apple.

As highlighted in the image above, Apple’s patent covers a hidden color-matched or transparent “window”—next to the iPhone’s home button in this case—that could reveal “components by causing the electronic window to change opacity, allowing the components to suddenly appear as from out of nowhere.” In other words, Apple could build a biometric sensor or camera into a device’s bezel but have it remain invisible to the user—at least when not in use. One embodiment of the invention described using fingerprint tech during the unlocking process (pictured right):

In Apple’s patent FIGS. 12 and 13 shown below we see a biometric sensor in context with a fingerprint reader which is initially concealed behind a closed window on an iPhone. Upon the iPhone’s activation in a locked state, a lock screen 160 may be displayed requesting a user to slide a finger across the display to unlock the device. The electronic device may request user authentication to access the handheld device. The device may then display an instruction screen requesting that a user provide biometric data via their fingerprint which will be read by the fingerprint reader.

The patent also covers similar methods using face recognition and eye recognition rather than fingerprint sensors; the invention would also not be limited to unlocking devices. The patent continued by describing e-commerce and wallet applications, which would line up with the earlier reports regarding Microlatch: Read more

New iPod touch begins shipping to customers and showing up in Apple Retail Stores alongside iPod nanos

Jordan Kahn

Apple posted a user guide for the fifth-generation iPod touch to iBooks early this morning, indicating a retail launch for the device is coming sooner rather than later. Apple promised an October timeframe for preorders of the device shipping from its Online Store, but today we get word from readers that Apple is now shipping orders of the fifth-generation iPod touch, as well as the new iPod nano, with delivery expected early next week. The shipment notice above comes from a user in the United States with an expected delivery date of Oct. 15, but international users have reported receiving notices as well. The image below shows an expected delivery date of Oct. 15 from an Australian reader, while the new iPod nano is still listed as preparing for shipment. Yesterday, Apple started shipping orders for the 30-pin to Lightning adapter. Thanks, Penpal1278!

It also appears that Apple started to sell the new iPod touch and iPod nano in at least some of its retail locations:

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