Taiwan Fines Apple $670,000 for Trying to Control iPhone Pricing

POST

MAIL

Posted December 25, 2013 at 10:54pm by iClarified

Taiwan has fined Apple $670,000 for telling retailers how much to sell the iPhone for in violation of the country's Fair Trade Act, reports the WSJ.

Apple told Taiwan's three main service providers, Chunghwa Telecom Co., Far Eastone Telecommunication Co., and Taiwan Mobile Co., to adjust rates. However, the commission said Apple has no right to meddle in companies' iPhone pricing plans after selling them distribution rights. The carriers can distribute or resell iPhones at their complete discretion after paying Apple for those rights.

"Through the email correspondence between Apple and these three telecom companies we discovered the companies submit their pricing plans to Apple to be approved or confirmed before the products hit the market," said the Fair Trade Commission.

The ruling applies to iPhones only and Apple can appeal but it may face an even larger fine if it doesn't comply.

Read More

Taiwan Fines Apple $670,000 for Trying to Control iPhone Pricing

Follow iClarified

Mike Power - December 26, 2013 at 5:34pm

The Chine Make the iPhone and they can Destroy the iPhone, so you better watch out Tim Crook.

Reply · Like

gamerscul9870 - December 26, 2013 at 7:04pm

Chine?

gamerscul9870 - December 27, 2013 at 12:57am

B/c it's poorly made in China? I'm saying that because of the benchmark China iPhone was in!

Tim - December 27, 2013 at 7:55am

Chinese and Taiwanese are separate or so they say

ipadguy - December 26, 2013 at 8:25am

This new app for iPad has a bunch of bugs but that's how it works and updates have a bunch of bugs anything new come with a bunch of bugs I love how technology just seems to almost work

Tim - December 26, 2013 at 6:38am

Apple could just retract distribution rights to them next year with new phone

Mab - December 26, 2013 at 9:47am

Greedy apple!

Mlutalo - December 26, 2013 at 5:58am

Thts why sumsung has no resell value ! They got no price control

Eljefejustino - December 25, 2013 at 11:54pm

Because it's Taiwan's law. If we could just pick and choose which laws to follow they would be Mexico

Dommm - December 25, 2013 at 11:03pm

Why should apple be allowed to fix prices the seller buys it from them at a reduced price they should be able to sell it as they wish if they want to sell it cheap so be it

gamerscul9870 - December 25, 2013 at 10:58pm

It's their manufactured product they gave to stores to sell, how is Apple not in charge of pricing?

Josh - December 26, 2013 at 1:40pm

Applle doesn't manufacture anything. Ironically, the iPhone is nothing more than a Samsung/LG smartphone. Even the A7 is made by Samsung. Apple did the software. The hardware is just purchased and used by them to resell. Apple isn't involved in hardware production. They just go to manufacturers like Samsung and tell them what they want, but Apple is a company that likes to take credit for everything. It's like me buying a Playstation4 and reselling it to someone else in a cardboard box with my company artwork on it.

gamerscul9870 - December 26, 2013 at 2:34pm

Uh, Samsung supplies apple, they gave material to them to use, if it were samsung it would be them who made these products with their apps, logos, and style displayed inside and outside! As Apple said in their videos, they pointed out "the new apple designed a7 chip" it even has their logo on it.

gamerscul9870 - December 27, 2013 at 5:43am

Daft, what makes no sense?

Wow - December 27, 2013 at 9:19am

Apple designs and makes the test product using parts from company's that supply parts but the overall idea and everything is still theirs and the blueprints of the parts are theirs they just use samsung to make some parts not even remotely near half stop exaggerating if samsung made the a7 then 64bit processors wouldn't have made such a big deal as they did when apple used them in iPhone 5s's.