Apple Inc misled customers in Australia with claims the new iPad connects to 4G networks, when that’s not the case, the competition regulator said, according to a Bloomberg.
The Australian Competition & Consumer Commission said in a statement today it will seek court orders in Melbourne tomorrow that will include injunctions, monetary penalties and refunds to customers. Fiona Martin, an Apple spokeswoman in Sydney, didn’t immediately respond to an e-mailed request for comment.
“The ACCC alleges that Apple’s recent promotion of the new ‘iPad with WiFi + 4G’ is misleading,” the regulator said in a statement today. “It represents to Australian consumers that the product ‘iPad with WiFi + 4G’ can, with a SIM card, connect to a 4G mobile data network in Australia, when this is not the case.”
The new iPad, advertised as 4G compatible, uses the 700 megahertz and 2,100 megahertz frequencies for 4G services. Telstra Corp. operates Australia’s only working 4G network, which uses the 1,800 megahertz frequency.
Meanwhile, TVNZ reported that Apple is prepared to offer a refund to Australian customers who believe they were misled by claims its latest iPad is capable of connecting to the next generation 4G network.
Apple’s barrister Paul Anastassiou SC told the court the company was prepared to take steps to clear up the matter.
He said the company was willing to email customers to say the device was not compatible with the Telstra 4G network.
Anastassiou also said Apple was prepared to offer a refund to any customer who believed they had been misled by references to 4G.