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Apple has begun issuing compensation payments of up to $349 to iPhone 7 and iPhone 7 Plus users affected by the notorious “Loop Disease” hardware defect.
However, the settlement process has raised concerns about Apple’s handling of product defects and its broader policy on consumer rights.
What Is Loop Disease and Who Is Affected?
“Loop Disease” is a hardware issue caused by the gradual detachment of the audio IC chip from the motherboard, leading to:
- Muted calls – microphone and speaker icons becoming unresponsive.
- Siri malfunctions – the voice assistant stops working.
- Sound loss in apps – voice recording and video calls fail.
The issue typically arises 2–3 years after purchase, leaving many users frustrated, especially since Apple refused to issue a recall and instead offered only temporary fixes. Many customers had to pay $150–$300 out of pocket for repairs.
Compensation Details: Who Gets What?
After two years of negotiations, Apple agreed to a $35 million settlement in June 2024—without admitting fault. According to the official Smartphone Audio Settlement website, users are entitled to the following compensation:
- Up to $349 – for users who paid for repairs and can provide receipts.
- Up to $125 – for users who reported the issue but didn’t get it repaired.
However, claims had to be submitted by August 2024, meaning many iPhone 7 owners are now ineligible for compensation.
Apple’s Legal Tactics & Policy Changes
Despite the payout, Apple denies any wrongdoing, stating that the settlement was only to “avoid the time and expense of litigation.” Critics argue that this legal strategy is Apple’s way of protecting its brand image while avoiding accountability.
This is not the first time Apple has faced legal battles over defective designs:
- 2022: Apple paid $50 million to settle a lawsuit over the MacBook’s faulty “butterfly” keyboard.
- 2020: The company settled for $500 million over the “batterygate” scandal, where Apple deliberately slowed down older iPhones.
These cases raise serious concerns about whether Apple’s product quality and repair policies are designed more for profit than for consumer protection.
What iPhone Users Should Watch For
Apple’s history suggests that design flaws may not always be acknowledged until legal action is taken. With iPhones becoming increasingly expensive and harder to repair, users should be aware of:
- Apple’s warranty limitations – defects that emerge after two years may not be covered.
- Repair costs vs. replacements – official repairs are costly, often pushing users toward buying new devices.
- Right to repair movement – Apple is slowly allowing third-party repairs, but policies still restrict access to affordable fixes.
While this lawsuit may be closed, Apple’s approach to product durability and consumer rights remains a major concern. As new iPhone models continue to evolve, users must demand greater transparency and accountability from the tech giant.
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Source: Vietnam Insider