Wednesday, March 28, 2012

Apple In Trouble Over New iPad's 4G Advertising

It appears as though the marketing team over at Apple may have gotten a little rambunctious with the advertising of the New iPad is several foreign countries. Reports are surfacing about complaints that marketing is misleading consumers into believing the new third generation iPad is 4G compatible, even in countries currently without 4G capabilities.

The Australian Competition and Consumer Commission has taken legal action to ensure Apple makes consumers aware its third-generation iPad cannot connect to a 4G mobile data network in Australia due to technical incompatibility. The ACCC alleges that Apple's recent promotion of the new "iPad with WiFi + 4G" is misleading because 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.

According to reports by Reuters Apple will offer refunds to Australian buyers of new iPad. Apple promoted its third-generation tablet as the iPad with Wifi+4G, but Australia has only one 4G network, operated by Telstra Corp, which operates on a different frequency to the 4G on Apple's new iPad.

Further reports indicate that both Sweden and the UK may also enter the legal battle. Both countries have stated that they have received numerous consumer complaints about the iPad, which is being widely advertised as a 4G tablet despite not working on the 4G LTE networks in either country.

"One may rightfully ask if the marketing of the new iPad is misleading," said Marek Andersson of the Swedish Consumer Agency, which is considering launching an investigation over whether the ads run afoul of consumer protection laws.

The UK's Advertising Standards Authority (ASA), meanwhile, has told Pocket-lint that it is currently assessing complaints from consumers to "establish whether or not there is a problem under the [Advertising] Code." ASA could impose a marketing ban on the iPad 3’s claims that it supports 4G in the UK.

While Apple has offered a refund to Australian customers there has been no word on whether or not consumers in other none 4G supporting countries will also be issued refunds.

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