Apple is working to step up the secrecy surrounding future iPhone and iPad models by targeting a frequent source of leaks: third-party accessory makers. 9to5Mac has learned that in fall 2014, just before the iPhone 6 launched, Apple demanded that a number of leading accessory makers sign agreements barring them from seeking out information about future Apple devices, according to four sources with first-hand knowledge of the matter.
On one hand, the agreement dangled the loss of “future business opportunities that Apple and/or its affiliates may present to you” as a potential consequence of violating or not signing the agreement. On the other hand, signing and following it could lead to months-long delays in making accessories like cases available, during the time of year when those cases were most needed and demanded by customers.
In the lead-up to new iPhone and iPad device releases, leaked enclosures and information are frequently followed by early case designs. Cases are often manufactured based on rumors posted online, and as has been shown on a number of occasions, the results vary from at least partially inaccurate to substantially correct. Regardless of their validity, however, both the rumors and early cases lead to discussions of future Apple products, which Apple executives have suggested impacts prior-model revenues before the new devices are announced.
Seeking to quell some of the rumors, Apple used the Apple Store vendor agreement to ban accessory partners from seeking, obtaining, or relying upon advance specifications for future Apple products. After consulting Apple about the agreement’s language, one developer said that it amounted to a prohibition on reading any web site or newspaper that even discussed upcoming Apple products, including The New York Times, though the agreement focuses on using “specifications from any source other than Apple” to design and make products. Apple generally only releases manufacturing specifications after it has announced devices, which gives vendors little opportunity to sell accessories during the subsequent months required to design, manufacture, and ship new products.
Vendors that balked at the agreement were told that their products would be banned from Apple’s stores in the absence of a signature. Some vendors that signed the agreement were subsequently dropped from the stores anyway, but say that they believe they remain contractually bound by its terms. The agreement read in part:
“…should Apple find that, prior to the release of a product, you have sought, obtained, or relied upon specifications of that product from sources other than Apple, Apple may choose to exercise its right to take action against you, which penalties can include, but are not limited to, Apple choosing not to stock your product in our stores.”
Sources have said that Apple recently removed between 60-70% of third-party cases from its retail stores, possibly to make room for the Apple Watch. In 2014, Apple expanded its in-house iPhone case offerings to include distinct leather and silicone models, and was subsequently one of very few companies with an iPad Air 2 case, notably sold at a relatively high price. With this reduction in selection and prohibition on making cases before Apple releases its own specifications, early adopters of future Apple devices will likely be pushed further towards Apple’s own cases when they pick up their iPhones and iPads at Apple’s retail stores.
Mark Gurman contributed to this report.
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Interesting move. Can’t blame them. Then again, case makers basing things off of leaks also can lose money if they are wrong (as in 2012 and the case of the teardrop shaped iPhone that ended up being iPhone 4s).
Seems to me Apple’s focus should be within Apple itself. That is where the leaks originate. Besides, what’s the harm in case makers getting a head start. Apple profits keep going up and up. The company isn’t suffering any losses because of third party early productions. You can’t convince me that Apple itself does not manipulate leaks. Look at all the free publicity. Look out 9to5Mac you might be next on Apple’s chopping block.
Sure Apple might leak things now and then but they’re not leaking photos of crappy unfinished prototypes. That’s coming from within the supply chain and there’s probably not much Apple can do about it.
Apple loves the surprise. It’s part of its marketing strategy. It’s part of what drives its employees to work as hard as they do. It creates extra excitement about its products. It would give them flexibility to make late changes (maybe the sapphire screen?) without looking like they screwed up or are deliver you a sub-optimal performance.
Secondly, most leaks do not come from within Apple themselves. Apple Watch didn’t leak. A lot of OS X and iOS features don’t leak (although Mark Gurman does somehow get a few out every year–he’s a madman!) Most of the leaks come from the supply chain third-parties. These third-parties (or their employees) while facing harsh penalties from Apple, still risk a lot to sneak out phones or designs.
They do this not for internet fame or clicks but because the case market is so strong that the manufacturers are willing to pay top dollar for any leaks to have the day one advantage. If Apple can curb the case-makers demands, then they’ll be far less incentives to leak. When you make 10’s of millions of phones for launch it’s really hard to keep everyone on lockdown when demand is so hight.
Wonder if this is why it took Otterbox so long to get its cases for the iphone 6/6+ out. Last year for the 5s they had them ready for order the week before the release and shipped them out the day of the release.
They had the 5s cases ready because they knew it would look exactly the same as the 5
It makes sense to me.
It also makes sense that whomever the Apple employee is that has been giving 9to5Mac all their stories these last few years, will eventually be found out, fired, and probably (because of the magnitude of the leaks) be sent to jail for a at lest a while.
I’m not “anti” 9to5Mac, and not hoping for this to happen, but it probably will at some point and one should expect things like that when you break the law, however minor.
I hardly think a staff member leaking information about the shape of the next iPhone is of a magnitude deserving of a jail sentence. We are talking about a business leak not a leak which threatens national security.
If the leak is just for journalistic purposes, the source (and 9to5mac) would be protected (see, e.g., Apple v. Does). On the other hand, if there are any kickbacks or other financial incentives in exchange for trade secrets, then criminal prosecution is on the table (see, e.g., Paul Shim Devine).
I’m straddling the fence on this one: Yes, Apple does have the right to protect their intellectual and physical properties prior to release but this could / would dramatically increase the lead time for “non-Apple” cases, screen protectors and other accessories that we depend on.
Yes – Apple would take the lead on selling the “Genuine Apple” accessories – but, when it comes to iPhone cases and screen protectors – I’m reputable third-party all the way.
Maybe Apple could enter into one of their typical “Tell and You Die” contracts with some of the more reputable 3rd party manufacturers, to reduce that long lead time?
Another example of ‘do it our way, or else’.
All case manufacturers need to group together and tell Apple that’s not how things work. Apple needs the case manufacturers everybody as much as they need Apple. Why should the majority of case manufacturers stand by and watch Apple’s chosen short list get a few months head start on them because they’re giving Apple massive margins in their retail stores?
The worst bit? It’s bad for the consumer… those of you who are defending Apple’s practice here are supporting the paying of more money for less choice. Wouldn’t you rather be able to choose from a wider range of products for your brand new iDevice?
*every bit, not everybody.
Whatever it takes to reduce the number of idiotic rumours from the likes of Digitimes, BGR, and so on, as well as the clickbaiters who reblog them.
You realize you are saying that on the site that most of the rumours and leaks originate on, right?
9to5mac sometimes reposts unverified rumours like “blah blah company made this case and that tells us something about then next iPhone!” They should stop doing that, in favour of better sources, or reports that actually help Mac and iOS users.
And no, most rumours and leaks do not originate here, 9to5 only makes a small portion of claims. Some of them turn out true, others don’t pan out at all (i.e. “Healthbook,” iPhone 6 with higher resolution than 326 ppi, Apple Watch release in March . . .)
These companies may not immediately make money, but in the end they will. Im sure the process of manufacturing plastic is down to where it doesnt take long once they grt dimensions.
We can’t have customers having accessories ready for new iPhones and iPads on the day they launch. Nooo, let them wait a few weeks and risk damage all to protect the almighty Apple secrecy.
There are plenty of accessories available day one, if you buy from the reputable sources. Every iPhone I’ve purchased day 1 from my cellular provider has had licensed and proper accessories in stock on day one.
Seems to me like this only affects vendors looking to sell inside of Apple Stores. For the many like me that live nowhere near an Apple Store, I don’t see an issue. If Otterbox, Incipio, etc., don’t want to sign the agreement and sell exclusively at Target, Best Buy, Amazon, etc., I say go for it. With reports saying that Apple is clearing out up to 70% of their in-store real estate to prep for the Apple Watch release, it would almost be beneficial to opt out of the agreement to avoid putting your head on the chopping block.
as if you’ve never ordered on-line. Really?
Considering all of the really really poorly designed screen protectors I’ve had to endure with my iPhone 6 Plus, I think this is a GREAT IDEA!!! The market is flooded with poorly designed accessories, it’s really bad.
As long as Apple gives the case manufacturers enough lead time for us to buy and receive the cases before we receive our new iPhones, I think this policy is fine. I’ve never really like the cases offered in the Apple store because I have found them too bulky and expensive for what they are. My current favorite brand is Ringke, and I ordered my Ringke SLIM on Amazon before the iPhone 6 was launched. The last time I had to wait for a case (iPhone 5, I think) I dropped my iPhone on concrete, leaving a couple of scrapes on the aluminum.
Can kind of understand it but overall why? If it’s designs leak a couple of weeks before time then does that impact sales of phone cases at all?
With phone cases and personalised phone cases it makes sense for companies to need the info well ahead of launch so they can produce phone cases ready for when the device comes out. At this rate people will just want to make your own phone case.
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