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AT&T, Apple Accused in suit of misleading consumers
Finance and Commerce ^ | 11/16/2009 | by David Glovin and Amy Thomson

Posted on 11/17/2009 7:58:27 PM PST by Swordmaker

Apple Inc., the most profitable handset vendor, and the wireless unit of AT&T Inc. were sued by a customer and accused of misleading buyers of iPhones.

Apple, based in Cupertino, California, and AT&T, the second-largest U.S. mobile-telephone company, misled consumers when they said the iPhone would have “multimedia messaging service” capability, the customer said today in a proposed class-action complaint in U.S. District Court in New York. The feature allows users to send pictures to each others’ phones.

“MMS functionality was one of the reasons people chose to buy or upgrade” to an iPhone, and it has become “clear that AT&T’s network does not support MMS,” according to the complaint.

“When and if AT&T upgrades its network, the millions of iPhone purchasers will get what they bargained for in terms of MMS,” according to the complaint. “In the meantime, all the millions of purchasers of the 3G and 3GS iPhones have been deceived and cheated out of what they thought they were purchasing — a cell phone with MMS functionality.”

Mark Siegel, an AT&T spokesman, said the company does offer the messaging feature.

“The plain fact is we’re offering MMS for the iPhone 3G,” he said in an interview.

Advertisement Apple doesn’t comment on pending litigation, said Susan Lundgren, a spokeswoman.

The plaintiff, Francis Monticelli of New York, seeks to sue on behalf of himself and other buyers of the iPhone. He asked for unspecified money damages. Similar lawsuits against the companies have been filed elsewhere.

Apple’s third-quarter operating profit from iPhone sales was $1.6 billion, Neil Mawston and Alex Spektor, analysts for Boston-based Strategy Analytics, wrote in a report last week. The iPhone is sold in about 80 countries. It went on sale last month in China.

The case is Monticelli v. Apple, 09-cv-9505, U.S. District Court, Southern District of New York (Manhattan).


TOPICS: Business/Economy; Computers/Internet
KEYWORDS: isuit
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To: Proud_USA_Republican
MMS only became enabled on Iphones a few months ago. For about 2+ years of the iPhones existence, it wasn’t, and was one of the biggest gripes by users of the phone. It was a discrace it took them that long to finally turn it on.

True... but you could email everything for free you could MMS for a fee. i didn't miss it. This is not what they are suing about. They are suing because they claim that MMS is STILL not available even though it is being advertised. It IS available.

21 posted on 11/17/2009 9:20:02 PM PST by Swordmaker (Remember, the proper pronunciation of IE is "AAAAIIIIIEEEEEEE!)
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To: MajorThomas
I have an iPhone 3GS 16 Gigs. Honestly I have not had any issues. Owned it just over a month now. I love it, and it is addictive.
22 posted on 11/18/2009 12:21:28 AM PST by Sprite518
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To: webschooner; MajorThomas

Buy a droid on the best network, Verizon. I have one, and it’s the cat’s meow.

There is no 3G void with the 'droid
It's the bee's knees

23 posted on 11/18/2009 2:21:52 AM PST by dennisw (Obama -- our very own loopy, leftist god-thing.)
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To: dennisw

Go Android OS!!
http://phandroid.com/
http://www.android.com/


24 posted on 11/18/2009 3:14:20 AM PST by Drago
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To: Sprite518

I have no serious problem with my iPhone, it’s the relationship Apple made with AT&T. I have to carry two phones, because my Verizon Phone picks up the 30% of calls that I am unable to get when my AT&T service goes out or is totally non-existent, which happens in my travels. I wished Apple would have allowed for enrollment with other cell carriers e.g. Verizon.
If I were going to improve the Apple iPhone systems, I would have changed their keyboard data entry to use “smart input” for starters. The MMS picture problem(s) isn’t that important to me. I am a bit put off about paying $2.00 for ringtones from Apple, too. Otherwise, I like the phone, and am waiting to switch to Verizon when Apple opens enrollment to Verizon. It is the best cell phone I have ever owned.


25 posted on 11/18/2009 4:01:44 AM PST by MajorThomas (Patriotism is supporting your country all the time, and your government when it deserves it.)
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To: Swordmaker

Are you talking about the 3G? because the first release of the iPhone is not capable of sending MMS.


26 posted on 11/18/2009 4:05:14 AM PST by MajorThomas (Patriotism is supporting your country all the time, and your government when it deserves it.)
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To: ReignOfError
Curiously, my iPhone has no such ability. Not sure why.

I have no serious problem with my iPhone, it's the relationship Apple made with AT&T. I have to carry two phones, because my Verizon Phone picks up the 30% of calls that I am unable to get when my AT&T service goes out or is totally non-existent, which happens in my travels. I wished Apple would have allowed for enrollment with other cell carriers e.g. Verizon. If I were going to improve the Apple iPhone systems, I would have changed their keyboard data entry to use "smart input" for starters. The MMS picture problem(s) isn't that important to me. I am a bit put off about paying $2.00 for ringtones from Apple, too. Otherwise, I like the phone, and am waiting to switch to Verizon when Apple opens enrollment to Verizon. It is the best cell phone I have ever owned.

27 posted on 11/18/2009 4:07:59 AM PST by MajorThomas (Patriotism is supporting your country all the time, and your government when it deserves it.)
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To: MajorThomas

Right on Major.

First iphone was 2G. Unable to send MMS. Only text msgs.

AT&T has offered MMS for a while. As long as you have active MMS feature on your account and have MMS ready phone you should be good.


28 posted on 11/18/2009 5:06:58 AM PST by zavvone
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To: Swordmaker

I’m so excited. I purchased a new MacBook Pro 17” to be delivered on Sat. It’s about time since my current PowerBook G4 is 9 years old-LOL! 9 years and I’ve never had a problem that a soft shut down did not solve. That’s pretty amazing when you think about it.

I shopped around and got what I think is a very good deal at the Apple Store online refurbished section - $400-$500 less than other places I checked.

Any hints or tips on using the new machine? I know I’m going to love it!


29 posted on 11/18/2009 5:27:57 AM PST by randita (Chains you can bereave in.)
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To: Drago

There is a dual boot android with Windows netbook. Acer I believe...just came out


30 posted on 11/18/2009 5:41:49 AM PST by dennisw (Obama -- our very own loopy, leftist god-thing.)
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To: MajorThomas
Curiously, my iPhone has no such ability. Not sure why.

Next time you connect it to iTunes, click the "check for update" button. MMS was (officially; there were hacks before) enabled in a software update in September. Or if you don't want to wait until you're at your computer, go to Settings > General > About and scroll down to where it says "Version." The current version is 3.1.2.

I have no serious problem with my iPhone, it's the relationship Apple made with AT&T. I have to carry two phones, because my Verizon Phone picks up the 30% of calls that I am unable to get when my AT&T service goes out or is totally non-existent, which happens in my travels. I wished Apple would have allowed for enrollment with other cell carriers e.g. Verizon.

I don't have any inside info, but the "word on the street" is that Verizon balked at building the infrastructure for visual voicemail, insisted on putting their own logo on the phone, and wanted control over some of the features (e.g. a cut of sales at the app store). Those demands wouldn't exactly be out of character for Verizon.

Another problem is that Verizon uses CDMA, while AT&T and the vast majority of the world use GSM. Building a dual-standard phone would require either building both standards into every iPhone or building a separate version for the US. Rumor has it that a new chip from Qualcomm makes it more cost-effective to support both GSM and CDMA, but it won't be available in large quantities until mid-2010 at earliest.

I don't have any inside info on the AT&T contract, of course, but O2 in Britain and Rogers in Canada have already lost their exclusives.

I am a bit put off about paying $2.00 for ringtones from Apple, too.

$2 is the price of convenience. On a Mac, you can make ringtones out of any non-protected audio file in Garage Band. On Windows, use your favorite audio editing program to cut a sound file down to 40 seconds or less, save as AAC, and change the file extension to .m4r; iTunes will now see it as a ringtone. You'll want to normalize the sound and mix down to mono for decent results.

31 posted on 11/18/2009 8:44:33 AM PST by ReignOfError
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To: ReignOfError

I believe Verizon is planning on going to LTE. My understanding is that is a GSM type phone and what the rest of the world will be using. When we are to it, only Sprint will be using a different type.


32 posted on 11/18/2009 10:17:27 AM PST by Mr. Blonde (You ever thought about being weird for a living?)
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To: Mr. Blonde
LTE is years away. I send and receive MMS on my iPhone every day. What's the problem here.
33 posted on 11/18/2009 10:28:26 AM PST by kempo
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To: kempo

Apparently that AT&T didn’t rollout MMS quick enough. A pretty weak lawsuit.

I didn’t mean to imply that LTE was tomorrow, just that in the future instead of two CDMA carriers and 2 GSM carriers, we would have 3 GSM carriers. And hopefully a step towards buying unlocked phones separately from your minutes.


34 posted on 11/18/2009 11:33:35 AM PST by Mr. Blonde (You ever thought about being weird for a living?)
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To: Swordmaker

Lets see... the “capability” has always been there, but the implementation took time. I listened to iPhone ads, read them, and talked to AT&T folk s about the iPhone for a LONG time before I bought mine (as in over a year). NEVER did I hear or read that it included MM Messaging. In fact, I know of folks who specifically held off on buying an iPhone because of this.

Further, the service is now included - for all phones if the users have updated the software.

so what is the holdup? Just looking for excuses?


35 posted on 11/18/2009 1:08:56 PM PST by TheBattman (Pray for our country...)
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To: ReignOfError

Thanks for all your info, I know I ragged on the iPhone, I really do like it. I would not rag on ATT save for the fact, that I cannot get service in many of the places I travel, and some of the areas where I do travel, the service is down more than 40% of the time. Soooooooo, even though Verizon is like the evil empire, I my business survives because I carry two phones, not one. I here though the grape vine that Verizon maybe picking up the iPhone next year, but I will have to sell my current phone because, well you know. And, yes, I do make my own ringtones with a hack program. I wasn’t aware that garage band was able to “make ringtones”, thanks for the info. I am an Apple supporter from way back. I have a burial ground of old macs around my office.... with spare parts tucked away everywhere..


36 posted on 11/18/2009 3:40:12 PM PST by MajorThomas (Patriotism is supporting your country all the time, and your government when it deserves it.)
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