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Tech Watch | InfoWorld Staff » Apple bitten by various lawsuits

December 30, 2006 | Comments: (0)

Apple bitten by various lawsuits

Although Apple has enjoyed great success of late, 2006 hasn't been all kind to the Cupertino, Calf.-based company. Beyond facing federal probes for alleged stock-option manipulations, the company has disclosed in a recent SEC filing that it's facing a number of lawsuits, according to reports, including one accusing the company of creating a monopoly by linking its iTunes store to the iPod.

"The case, filed July 21, is over Apple's use of a copy-protection system that generally prevents iTunes music and video from playing on rival players. Likewise, songs purchased elsewhere aren't easily playable on iPods," AP reports.

A judge denied Apple's request to dismiss the case on Dec. 20.

A second lawsuit, filed in November, alleges that the logic board of Apple's iBook G4s are prone to failure at an unusually high rate, AP reports. Apple has yet to file a response.

Finally, a company called PhatRat filed a patent-infringement against Apple in October in response to an iPod developed jointly by Apple and Nike that allows runners to measure the time and distance they've run. Apple has yet to file a response to that lawsuit, either, according to AP.

This isn't the first patent-infringement case Apple has faced. Earlier this year, the company settled with Creative for $100 million after Creative had sued the company for infringing on its patented interface and file organization technology for MP3 players.

Posted by Ted Samson on December 30, 2006 08:49 AM


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I love it! Despite the Apple haters best attempts to spread fear, uncertaintity and doubt (FUD), Apple continues to increase iPOD and Mac to new levels- keep trying!

It's obvious people don't care or aren't listening.

Posted by: lrd at December 30, 2006 08:45 PM

This is a load of bull shit.

The lawsuits are simply the usual stuff brought to extort a few bucks if they can before a judge eventually throws the frivolous suits out.

The rest are half truths regurgitated by this electron rag to get anybody to notice their FUD, propaganda and lies. I guess even the Enquirer needs competition from the bottom feeders and their clientele, devoid of discernment or an ethical compass.

All of this is just bull shit wannabes trading off the good name of Apple, because they haven't the where with all to gain appropriate notoriety from writing intelligent articles using insight, good judgement and vision, as Apple has gained their reputation.

Posted by: Samuel Simpson at December 31, 2006 02:56 PM

I think it's interesting that you're suggesting I'm an "Apple hater" attempting to spread FUD with this report. It's a factual account of what has transpired: Apple is facing a number of lawsuits, per its recent SEC filing. Time will tell whether they have any merit, though it's notable that the judge would not dismiss the case regarding the alleged monopoly.

Those of you who are truly interested in Apple technology but haven't truly explored InfoWorld's coverage might be well served to look at Tom Yager's Enterprise Mac blog.

Posted by: Ted Samson at January 1, 2007 01:48 PM

Apple's in an interesting situation regarding the "monopoly" argument. Its clear that they hold a lead in the market, but there are certainly viable alternatives to the iTunes store. Alternatives make it hard to argue that they have a monopoly. The primary alternative is buying CDs.

But underlying, there is a question whether Apple would open up iTunes to other players. A significant part of Apple's success with the iPod is the quality of the iTunes software.

When does it make sense for Apple to let other players interface with iTunes? It may have to do with how long Apple can prevent discounting on the players.

Apple has always been a hardware business, so I don't see this happening soon. But there could be a good business case for it. It would show up Microsoft to have all those Zune players running Apple software...

Posted by: Richie at January 2, 2007 11:39 AM

Right on Richie. It will be interesting if the Zune easily converts songs purchased on iTunes. I would hope so since it took Microsoft so long to copy the iPod (the same way it ripped off many MAC OS features when it introduced Windows.

Posted by: Virginia Harlow at January 2, 2007 12:05 PM

Ms. Harlow needs to check her history. Lots of the Mac OS features weren't original to Apple, they had been developed by folks at Xeroc PARC, based on the work of Doug Engelbart and others at the Stanford Research Institute. In fact, Apple licensed the "mouse" from SRI.

Engelbart is one of the great pioneers in computer history, having demonstrated the first use of a mouse with a GUI to remotely control a computer over a network--sort of a great great grandfather of the Web.

Posted by: Charlie at January 8, 2007 08:07 AM

Actually, the iBook G4 lawsuit has a point. The consumers didn't invest over $1,000 on a computer that is going to break down in just over a year. If I wanted that, I would have bought a Dell. If it's a flaw in the design, Apple needs to man up and face it. If they're really so "consumer minded" as they claim they are, they'd address the issue.

It's not spreading FUD, as you put it. It's trying to get your money's worth out of something you invested in. Oh, and for the "You should have bought more insurance" argument (cause it ALWAYS pops up), some people just -can't afford it-. The laptop was pricey enough as is.

Posted by: Hairnester at September 29, 2007 09:59 PM

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