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Apple Fined $2.25 Million Over False 4G Claims

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MAD MACS
DailyFeed

If Mel Gibson's turn as a post-apocalyptic road warrior taught us anything, it's that no one should cross an Aussie. (Or fail to record their voicemails, for that matter.)

Now Apple (AAPL) is learning that lesson as it finds itself $2.25 million lighter after controversy erupted over claims of the new iPad's speeds.

Back in March, Apple finally joined the ranks of Android (GOOG), Samsung, and Motorola and released an iPad capable of 4G speeds. Supported on AT&T (T) and Verizon (VZ) in the States -- Sprint (S) still needed an LTE network rollout -- the device was hyped as Apple's fastest connected mobile device and acted as a precursor to a 4G iPhone. One that AT&T hasn't falsely upgraded.

However, while locals were celebrating the new whiz-bang speeds, folks down under were hot under the collar. Turns out, their new iPads couldn't access 4G networks.

Because of the prominent 4G branding of the new iPad, the Australian Competition and Consumer Commission (ACCC) levied charges against Apple, alleging that the purported speeds were misleading.

While Apple still defends the faster speeds of its new device, it has agreed to pay a $2.25 million penalty and contribute $300,000 toward the ACCC's legal costs.

So if it hopes to avoid the business end of a didjeridoo later this year, here's hoping the iPhone 5 is compatible with Australia's 4G networks.

(See also: Clumsy iPhone Videographers Get a Hilarious Smackdown and AT&T Falsely 'Upgrades' iPhone 4S to 4G)

Twitter: @mcs212

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