att.jpgFollowing the culmination of a long-running class action lawsuit, AT&T and Apple are set to pay out $40 to customers who were affected when AT&T ended its unlimited data plan for the iPad 3G back in June of 2010, reports GigaOM.

In a ruling issued this week in San Jose, California, US District Judge Ronald Whyte signed off on a plan that will see Apple pay $40 to everyone in the US who bought or ordered an iPad 3G before June 7, 2010. In addition, those who did not sign up with AT&T will get a $20/month discount on the carrier’s 5GB monthly plan for up to a year.

Prior to June 2010, AT&T offered a no-contract $29.99/month unlimited data plan for iPad owners, replacing it with a 2 GB for $25/month plan. While AT&T grandfathered in users who had the unlimited plan before June of 2010, the company did began throttling its unlimited users in October of 2011.

In addition to accusing Apple and AT&T of baiting-and-switching customers by selling iPads that had advertised unlimited data, the lawsuits also suggested that without the prospect of an unlimited data plan, consumers had overpaid for their tablets.

The deal is subject to final approval in February, and Apple will begin sending out checks after that date. While AT&T is required to offer customers a $20 discount on the $50/month 5 GB data plan, the deal is only available to customers who do not have another data plan with AT&T due to no-class action provisions in their contracts.

Top Rated Comments

hrMACnstuff Avatar
137 months ago
history repeats itself. good 'ol at&squeeze

the new at&t has morphed back into the old at&t. pull them in then screw em. this penalty is nothing more than a hand slap.
Score: 7 Votes (Like | Disagree)
clibinarius Avatar
137 months ago
About time. But why is Apple liable? They don't set pricing, and jobs seemed to want unlimited data for it (isn't that the point?)
Score: 6 Votes (Like | Disagree)
cmwade77 Avatar
137 months ago
Huh? Why isn't AT&T being punished for throttling "unlimited data plans".

For that matter, by the definition of the word unlimited, they should not be allowed to prevent tethering with an unlimited data plan either.
Score: 4 Votes (Like | Disagree)
BruiserB Avatar
137 months ago
About time. But why is Apple liable? They don't set pricing, and jobs seemed to want unlimited data for it (isn't that the point?)

Maybe it's because at the introduction of the iPad Steve really promoted the fact that the 3G iPad came with the ability to have unlimited data for $29.99 a month. I suppose the plaintiffs argued that they only bought the 3G iPad because of this and then the plan went away just a few months later.

I bought my 1st Gen iPad with 3G and subscribed for just one month, before I realized that I really only used it at home. I thought it was kind of crappy that the plan went away a short time later, but it didn't really matter since I wasn't subscribing. I think the best deal is just to tether a wifi one to your cell phone on a month to month basis. I just wish the wifi iPads would come with GPS.
Score: 3 Votes (Like | Disagree)
keysofanxiety Avatar
137 months ago
Verizon started offering the iPhone 4 halfway through its cycle, and this was the first non-AT&T iOS device. This was about two and a half years ago. If you don't remember this, you must either be very young or very new to the Apple ecosystem. Either way, welcome to the world.

Or, you know, I could be in the UK and have no knowledge of US carriers. There are other countries than the US. Welcome to the world. :rolleyes:
Score: 2 Votes (Like | Disagree)
aristotle Avatar
137 months ago
Sorry, but this is why you guys cannot have decent healthcare. It is because of the culture of lawsuits. Blame the lawyers and your stupid laws that allow people to sue for stupid things like this.
Score: 2 Votes (Like | Disagree)

Popular Stories

iPhone 16 Camera Lozenge 2 Perspective Gray

Five Key Upgrades Coming to iPhone 16

Friday March 15, 2024 1:45 pm PDT by
The iPhone is Apple's top-selling product, and it gets an update every year. In 2024, we're expecting the iPhone 16 and iPhone 16 Pro lineup, with an arguably more interesting feature set than we got with the iPhone 15 and iPhone 15 Pro. Subscribe to the MacRumors YouTube channel for more videos. Capture Button All four iPhone 16 models are set to get a whole new button, which will be...
When To Expect New iPads Feature 1

Apple to Announce New iPads on March 26, Rumors Claim

Monday March 18, 2024 4:02 am PDT by
Apple is widely expected to release new iPad Air and OLED iPad Pro models in the next few weeks. According to new rumors coming out of Asia, the company will announce its new iPads on Tuesday, March 26. Chinese leaker Instant Digital on Weibo this morning 日发布%23">claimed that the date will see some sort of announcement from Apple related to new iPads, but stopped short of calling it an...
airpods 3 orange

Two New AirPods 4 Models Expected to Launch in September or October

Sunday March 17, 2024 7:56 am PDT by
Apple suppliers will begin production of two new fourth-generation AirPods models in May, according to Bloomberg's Mark Gurman. Based on this production timeframe, he expects the headphones to be released in September or October. Gurman expects both fourth-generation AirPods models to feature a new design with better fit, improved sound quality, and an updated charging case with a USB-C...
iphone se 4 modified flag edges

iPhone SE 4 Expected to Depreciate Heavily

Tuesday March 12, 2024 9:04 am PDT by
Resale value trends suggest the iPhone SE 4 may not hold its value as well as Apple's flagship models, according to SellCell. According to the report, Apple's iPhone SE models have historically depreciated much more rapidly than the company's more premium offerings. The third-generation iPhone SE, which launched in March 2022, experienced a significant drop in resale value, losing 42.6%...
General iOS 17 Feature Orange Purple

iOS 17.4.1 Update for iPhone is Imminent

Monday March 18, 2024 5:27 am PDT by
iOS 17.4.1 and iPadOS 17.4.1 should be released within the next few days, with a build number of 21E235, according to a source with a proven track record. MacRumors previously reported that Apple was internally testing iOS 17.4.1. As a minor update for the iPhone, it will likely address software bugs and/or security vulnerabilities. It is unclear if the update will include any other changes. ...
iOS 17 Passkey With Apple ACCOUNT Feature

'Apple ID' Expected to Change to 'Apple Account' Starting With iOS 18

Sunday March 17, 2024 7:13 am PDT by
MacRumors was first to report that Apple was planning to rebrand "Apple ID" to "Apple Account" across its software platforms and websites like iCloud.com as early as this year, and now Bloomberg's Mark Gurman has corroborated this change. A mockup of the new Apple Account branding In his Power On newsletter today, Gurman said the new "Apple Account" branding will start to be used later this...
M3 iPad Feature 3

New iPads Likely to Begin Shipping in April

Monday March 18, 2024 9:52 am PDT by
Apple's new iPad Pro models with OLED displays will likely begin shipping to customers in April, according to information shared today by Ross Young, CEO of display industry research firm Display Supply Chain Consultants. Bloomberg's Mark Gurman also said the new iPad Pro models might not ship until "deeper" into April in his Power On newsletter on Sunday:I've repeatedly said that new...