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Apple threatened with closure of Italian operations over AppleCare antitrust investigation

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We have kept you updated on Apple’s warranty situation in Italy with the company forced to pay a $1.2 million fine imposed by Italian antitrust authorities after losing an appeal to the fine in March. Autorità Garante della Concorrenza e del Mercato claimed Apple mislead consumers by selling its one-year AppleCare warranties without properly informing its customers of a two-year warranty mandatory by European Union law. Today, Reuters reported Apple is facing further fines and “temporary closure of its operations in Italy” if it doe not make changes to its warranty policies:

Apple Inc was threatened with the temporary closure of its operations in Italy and with further fines of up to 300,000 euros ($377,500) if it does not offer customers a free two-year warranty as demanded by Italian law… The AGCM said in its monthly bulletin that Apple was continuing to adopt unfair commercial practices in Italy and noted this could eventually lead to the closure of its Italian operations for up to 30 days.

In March, reports claimed that authorities from up to 10 other countries in the EU were considering requesting Apple make similar changes to AppleCare.

Update: Apple commented on the matter:

“We have introduced a number of measures to address the Italian competition authority concerns and we disagree with their latest complaint.”


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SquareTrade now covers jailbroken iPhones

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Third-party warranty firm SquareTrade now covers jailbroken iPhones, unlike Apple’s own AppleCare service program.

A jailbroken iPhone simply means it is freed from the limitations imposed by Apple for safety measures. It gives users extensive access to the internal system with options to install non-App Store third-party software. The procedure, however, voids Apple and carriers’ warranty offerings.

SquareTrade’s Vice President of Strategy Vince Tseng told 9to5Mac exclusively that jailbroken iPhones are eligible for coverage, but the firm does not cover issues that occur as a result of jailbreaking. When jailbreak-related software mishaps occur, Tseng said SquareTrade will only provide support options. Moreover, iPhones with jailbreak-related hardware mishaps are not eligible for coverage, and such situations will void any SquareTrade warranty.

The warranty offered through SquareTrade covers when a “techie” jailbreaks an iPhone, and then drops or breaks it. At that point, the coverage guarantees a replacement or repaired smartphone—depending on a user’s preference and case. The inclusive change affects both existing and new coverage holders.

“The warranty service is for all iOS devices,” Tseng further elaborated, “and it covers four claims, where as Apple only covers two claims.”


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Apple’s court woes: AppleCare in Italy; Motorola, lawmakers grill iOS devs

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As we reported earlier this month, Apple was set to appeal a $1.2 million fine imposed by Italian anti-trust authorities Autorità Garante della Concorrenza e del Mercato. The authorities argued Apple is misleading consumers by selling its one-year AppleCare warranties without informing customers of a two-year warranty mandatory by European Union law. Apple officially lost the appeal in court this week, which forced the company to pay the €900,00 fine and alter its AppleCare policies to properly inform consumers going forward. Apple can still appeal the decision, but consumer groups from 10 other countries are also requesting Apple change its policies—indicating this could soon be EU-wide. (via Repubblica.it)

Following the Path incident, a letter sent from lawmakers to Apple in February requested information on how the company collects personal data. The two congressional representatives behind the letter, Henry A. Waxman and G. K. Butterfield, sent letters to 34 app developers requesting similar information. One of the letters was sent to Tim Cook and Apple about the “Find My Friends” app. The letters are requesting that developers answer questions about their privacy policies and how they handle user data. In response to Path, Apple already confirmed, “Any app wishing to access contact data will require explicit user approval in a future software release.”

Earlier this month, we reported that U.S. Circuit Judge Richard A. Posner ruled in favor of Apple’s request to view documents related to the development of Android and the Google/Motorola acquisition. Apple claimed, “The Android/Motorola acquisition discovery is highly relevant to Apple’s claims and defenses.” According to Bloomberg, Apple told the courts last week that Motorola has yet to fulfill the original request, but Judge Posner denied Apple’s request this week and said, “Motorola’s objections are persuasive.” Two patent infringement-related trials between Apple and Motorola are set for June, and Posner warns Apple will have to “narrow its request to a manageable and particularized set of documents” for any future production of data requests.

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Consumer groups in 10 more EU countries seeking alterations to AppleCare

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We reported several times about Italian anti-trust authorities fining Apple $1.2 million for “misleading consumers” in relation to AppleCare warranties. The decision made by the Autorità Garante della Concorrenza e del Mercato stated Apple’s 1-year AppleCare warranties were failing to inform consumers of a mandatory warranty of two years imposed by European Union law. Today we heard confirmation from Bloomberg that not just Italy, but consumer groups from 11 countries, requested that Apple make changes to its AppleCare policies and immediately halt its current “practices on the guarantees.”

Apple products say they come with a one-year warranty when European Union law requires manufacturers cover goods for two years, consumer groups in 11 countries, including Italy and Germany, said in an e-mailed statement today. The groups said they sent letters to national regulators seeking an immediate halt to Apple’s practices on the guarantees

The letter sent by consumer groups comes two days before Apple is set to appeal the $1.2 million fine imposed by Autorità Garante della Concorrenza e del Mercato on March 21. Apple already published the initial anti-trust decision on its website, but the group is asking Apple to also alter its warranty policies and publish a notice to consumers about the changes it made on Apple.com.

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Goodbye white MacBook, Apple takes the MacBook Air into education with new five-pack, mobile lab programs

Early last week, Apple discontinued the white plastic MacBook, which had been an education-only item since mid-2011, but is continuing to sell the product to education institutions while supplies last. The remaining supplies are being sold for $899, and sources say that Apple’s white MacBook inventory for educational institutions is still rather high. While white MacBooks for education are a thing of the past, Apple is not giving up on education: they are launching two new MacBook Airs for schools programs today.

The first new program is called MacBook Air 5-Pack Bundles and allows schools to purchase the MacBook Air in bundles of five at a discount. There are six bundle options, and each bundle saves schools $20 per MacBook Air:


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Apple to appeal $1.2M fine imposed by Italian regulators over AppleCare warranties

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Apple plans to appeal a decision by Autorità Garante della Concorrenza e del Mercato to impose $1.2 million USD fine for not providing consumers with a two-year warranty mandatory under European Union law and the Italian Consumer Code. An Apple PR representative apparently confirmed the decision to appeal the fines to The Register.

We reported earlier this week that Italian antitrust authorities were fining Apple Inc., Apple Sales International, and Apple Retail Italy $1.2 million USD related to “bad commercial practices that harmed consumers.” The Autorità Garante della Concorrenza e del Mercato claimed Apple has not implemented a two-year product guarantee available to all consumers through EU law. Instead, Apple continues to push their own AppleCare warranties to consumers without indication of the consumer’s rights to the free two-year guarantee.

The Autorità Garante della Concorrenza e del Mercato asked Apple “cease practice” of their current warranty policies, and “notify the Authority” of a new course of action. They also want Apple to publish clarification of the new policy on Apple.com to notify consumers. It is unclear if other authorities throughout the EU will take similar action.

Apple is also accused by the European Antitrust Commission of engaging in “illegal agreements or practices that would have the object or the effect of restricting competition in the EU or in the EEA” related to their iBooks business.


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Reminder: today is the last day of the grace period on AppleCare+ for the iPhone 4S

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Today is the last day you can purchase AppleCare+ for your iPhone 4S or iPhone 4, if you purchased it on October 14th or after. AppleCare+ was announced along with the iPhone 4S, and is available for $99 (two years). The plan not only gives you phone and genius bar support coverage, but also accidental damage coverage with a $49 service charge. The plan covers up to two accidents. $99 is a pretty solid insurance policy (Square Trade offers the same).

However, for new iPhone 4S purchases, the AppleCare+ protection plan can be purchased with the device on that day. Today was just the end of the grace period Apple instated for pre-orders. Thanks for the reminder Marco!

New MacBook Air for $899 bundled with discounted $199 AppleCare

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From 9to5toys.com:

Getting the holiday shopping season started a little early this year, MacConnection is offering 9to5Mac readers the base model MacBook Air for the lowest price we’ve ever seen it: $899 (10% off) when bundled with a significantly discounted AppleCare which is just $199 (20% off).  The total $1099 price is $150 below the $1250 you’d pay at the Apple Store and over $60 less than we could find it anywhere else.

This latest MacBook Air includes an Intel Core i5 1.6GHz Sandy Bridge dual-core processor, 11.6″ 1366×768 LED-backlit display, 2GB RAM, 64GB SSD, AirPort Extreme (802.11n wireless), Bluetooth 4.0, Facetime camera, Thunderbolt port, and Mac OS X 10.7 Lion.  AppleCare provides Apple’s three year warranty.

Use code 9-5AIRCARE at checkout to get the deal.   Limit 2 per customer, and this will run out soon.


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Upgrade your MacBook Pro, iMac to 8GB of RAM for $45

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From 9to5toys.com:

Amazon offers the Corsair 8GB (2x4GB) PC3-10666 DDR3-1333 SO-DIMM 204-Pin Dual Channel Notebook Memory Kit, model no. CMSO8GX3M2A1333C9, for $54.99.99 with free shipping. The $10 mail-in rebate cuts it to $44.99.

The 8GB (2 X 4GB) DDR3 Laptop Memory Kit  is 1333MHz Unbuffered CL 9 SODIMM Memory 9-9-9-24 1.5V which matches recent iMac and MacBook Pro Specs.  Commenters at Amazon concur.

Got a 2009-2010 model?  Even better, save an additional $5

Apple charges 4X that for an 8GB upgrade:


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