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Apple mulls refunds for battery replacement on old iPhones

Apple mulls refunds for battery replacement on old iPhones

Apple faced a backlash after it confirmed last month that it used software updates to limit the performance of older iPhone models, including the iPhone 6, iPhone 6S, iPhone SE and iPhone 7. Building on that claim, the company has brought its "performance management feature" to the iPhone X, iPhone 8 and the iPhone 8 Plus. A new battery is supposed to prevent older iPhones from bogging down.

Responding to a query about whether it would roll out a "similar software update" for newer iPhones, Apple said the iPhone X, iPhone 8, and 8 Plus include "hardware updates" for an advanced power management system that allows iOS to anticipate and avoid unexpected shutdowns more precisely. So it's not that the newer iPhone models don't have throttling practices.

In a support page, Apple has explained further how this performance management feature works. The affected iPhone 7 smartphones were sold in five regions namely, China, Hong Kong, Japan, Macau, and the U.S. This update of the iPhone was manufactured between September 2016 and February 2018. "In some cases, users may experience longer launch times for apps and other reductions in performance". But it resulted in disappointing performance for users.

Second when "Peak Performance Capability" is applied, this message will appear: "This iPhone has experienced an unexpected shutdown because the battery was unable to deliver the necessary peak power". The question is whether their eventual slowdowns will be as noticeable as on older iPhone models at the crux of this whole fiasco.

"It's helping Apple get fence-sitting customers over the hump of a $1,000 phone, while Goldman would be able to get a piece of this $500 billion market over the next three years", Daniel Ives, the chief strategy officer at GBH Insights said, adding that he is still surprised by the move but "when Apple calls, you answer the phone, even if you're Goldman".

Apple is facing heat over the battery and performance saga. An Apple Authorized Service Provider can replace the battery to restore full performance and capacity.

Apple (AAPL) opened at $161.57 on Tuesday.

Apple sold 77.3 million iPhones in the December quarter, down from 78.2 million units shipped in the same quarter a year ago. The revenue growth was driven by the iPhone X's higher price tag. Apple is trying to make it easier to buy the anniversary iPhone for consumers.

The talks between the two companies are still being carried out, with a possibility the deal could still fall apart, the Journal reported. Customers purchasing a $1,000 iPhone X could take out a loan from Goldman instead of charging it to credit cards.

As Apple Inc.'s investment bank, Goldman Sachs Group Inc. has raised tens of billions of dollars for the technology company.

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