The Federal Court in Australia has ruled that Apple misled consumers about its iOS "Error 53" bug, so it slapped the company with a $9 million fine.
Apple Error 53 Bug
The Error 53 bug affected numerous Apple users last year, bricking their iPhones and iPads after an iOS update. Following a slew of user complaints, Apple eventually acknowledged that as an intentional security feature, third-party repairs to the smartphone's Touch ID home button could brick it following said update.
Apple would run security checks and if the home button module was different, it didn't pass the security check and the device was rendered useless.
At the time, Apple told users who faced the Error 53 bug and had their devices bricked that they didn't qualify for a refund. The matter sparked wide uproar and Apple now has to pay for it, at least in Australia. The company also faced a class-action lawsuit in the United States over this matter, but it got thrown out.
Apple To Pay AU$9 Million Over Error 53 Bug
The $9 million fine is in Australian dollars, so it would translate to roughly $6.8 million U.S. dollars based on current conversion rates.
Sarah Court, the commissioner for the Australian Competition and Consumer Commission, highlights that Apple basically denied customers' right to repair their devices at third-party repair shops, yet it didn't offer any solution.
"They were being refused a remedy of any kind by Apple on the basis that their device had unauthorized repairs, and those repairs could be minor as just having a cracked screen replaced on an iPhone or iPad, which all of us need to do from time to time," explains Court, as cited by The Sydney Morning Herald.
Third-Party Repairs
In other words, Apple left those consumers without any solution, because they've resorted to third-party repairs to fix their devices. According to the ACCC, people should be able to repair their devices' screens and other damages at third-party repair shops, if the repairs do not damage the devices' underlying system.
Apple will have to pay the AU$9 million fine, as well as pledge not to engage in such practices again in the future. If it does, the court can take action. The company says that it's committed to the Australian market and it will keep doing whatever it takes so that its customers can enjoy great service.
A company spokesperson says that Apple is always looking for new means of improving its services and the talks with ACCC were "very productive."
