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Taiwan FTC fines Apple for meddling in Apple iPhone pricing

Posted: , by Alan F.

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Taiwan FTC fines Apple for meddling in Apple iPhone pricing
Apple has been fined $20 million NT by the Taiwan Federal Trade Commission for getting involved with the pricing of the Apple iPhone with carriers in the country. When translated into U.S. Dollars though, it comes out to a measly $670,000. Apple is not supposed to be involved with pricing of its handset after selling distribution rights to them. The Taiwan FTC accused Apple of violating Article 18 of the country's Fair Trade Act by telling the three main carriers in Taiwan how much they should charge for the iPhone.

Apple can appeal the decision, but could face a fine of as much as $50 million NT ($1.67 million USD). The agency said that Apple had no right to "meddle" in the carrier's pricing of the iPhone, adding that pricing of the device is at the complete discretion of the three carriers.

The ruling deals only with the Apple iPhone and the Taiwan FTC says it has no plans to investigate any possible interference that Apple might have had on pricing of the Apple iPad in the country.

"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."-Taiwan FTC

source : FTCTaiwan (translated), EngadgetChina (translated) via Engadget, WSJ

20 Comments
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posted on 25 Dec 2013, 12:25 3

1. Ninetysix (Posts: 1072; Member since: 08 Oct 2012)


LOL @ 670K. I'm sure you can find that under one of the executive's sofa.

posted on 25 Dec 2013, 12:53 2

2. apple4never (Posts: 762; Member since: 08 May 2013)


lol honestly its really gonna be a shame if apple tries to dispute such a small fine

posted on 25 Dec 2013, 12:55 4

3. shamataa (Posts: 202; Member since: 07 Dec 2011)


YES!. Apple to me has been lame meaning not pushing the boundires and thinking to small literally and not thinking BIG!. Apple is not open mineded instead they take they the easy way out. You can't always stay small forever. Thre are alot of people so you need to think about everyone not just a small group of people.Everyone has different needs.

posted on 25 Dec 2013, 12:55 1

4. The_Innovation (Posts: 531; Member since: 18 Jul 2012)


It'll be like tipping the guy who vallet parks your car.

posted on 25 Dec 2013, 13:04 6

6. tedkord (Posts: 3920; Member since: 17 Jun 2009)


It's not about the size of the fine, it's about people knowing that Apple simply disregards laws it doesn't like.

posted on 25 Dec 2013, 13:51 1

13. The_Innovation (Posts: 531; Member since: 18 Jul 2012)


Well, having more money than the Government who makes those laws, I guess it makes sense lol

posted on 25 Dec 2013, 14:02 5

15. tedkord (Posts: 3920; Member since: 17 Jun 2009)


Not if they want to do business in that country.

posted on 25 Dec 2013, 17:07 1

21. The_Innovation (Posts: 531; Member since: 18 Jul 2012)


I was being sarcastic.

posted on 25 Dec 2013, 12:57 7

5. wilsong17 (Posts: 261; Member since: 10 Mar 2013)


i wish its was like 1 billion usa dollar

posted on 25 Dec 2013, 13:51 3

12. InspectorGadget80 (Posts: 5639; Member since: 26 Mar 2011)


Wish it was 50 billion. Tis the season.

posted on 25 Dec 2013, 13:10

7. bucky (Posts: 1222; Member since: 30 Sep 2009)


Meh, pull out of Taiwan.

posted on 25 Dec 2013, 13:14

8. Mxyzptlk (limited) (Posts: 2846; Member since: 21 Apr 2012)


Lol Apple is probably laughing their @$$ off. $600k is chump change.

posted on 25 Dec 2013, 13:30 13

10. tedkord (Posts: 3920; Member since: 17 Jun 2009)


Criminals often laugh at the laws they ignore.

posted on 25 Dec 2013, 13:16 2

9. xtroid2k (Posts: 315; Member since: 11 Jan 2010)


Imsure this fine was already factored in to the cost and subtracted from total profits already lol

posted on 25 Dec 2013, 13:43

11. Taters (Posts: 2375; Member since: 28 Jan 2013)


Taiwan seems almost as bad as the US when it comes to homerism. I bet when Acer, Asus, or HTC pulls something like this they would just ignore them. But when Apple or Samsung does it, instant fine.

posted on 25 Dec 2013, 14:03 8

17. tedkord (Posts: 3920; Member since: 17 Jun 2009)


Or, maybe the others just don't do that.

posted on 25 Dec 2013, 13:53 1

14. darkkjedii (Posts: 9280; Member since: 05 Feb 2011)


Bad apple, I'm putting you in time out for 15 minutes buddy.

posted on 25 Dec 2013, 14:02 2

16. tedkord (Posts: 3920; Member since: 17 Jun 2009)


Not on Christmas, dude. That's mean.

posted on 25 Dec 2013, 14:09

18. darkkjedii (Posts: 9280; Member since: 05 Feb 2011)


Lol no toys

posted on 26 Dec 2013, 06:12

23. kanagadeepan (Posts: 590; Member since: 24 Jan 2012)


Apple will pay 10 times the fine and say "Dear Taiwan Govt, Keep the change for future penalties"...

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