Apple has reached a $490 million settlement to resolve a class-action lawsuit that alleged CEO Tim Cook in 2018 defrauded shareholders by concealing falling demand for iPhones in China. The settlement requires a judge’s approval.
Reuters:
The lawsuit stemmed from Cook’s comment on a Nov. 1, 2018, analyst call that although Apple faced sales pressure in markets such as Brazil, India, Russia, and Turkey, where currencies had weakened, “I would not put China in that category.”
On Jan. 2, 2019, Apple unexpectedly cut its quarterly revenue forecast by up to $9 billion, blaming U.S.-China trade tensions. Its shares fell 10% the next day, wiping out about $74 billion of market value.
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MacDailyNews Take: As we wrote back in November 2020, “Both Cook and Luca could have thought, at the time of their statements, that China iPhone sales would continue and they might not have been able to foresee, even though it seems painfully obvious in hindsight, that a late rush of battery replacements would ensue in December just before the low-priced iPhone battery replacement program’s end date, negatively impacting sales of new iPhones.”
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So, visionless Tim Cook has cost the company another half a billion dollars.
To put his “global warming” “carbon removal” bullshit in context, Apple and it’s coerced suppliers are blowing $480 million ($10 million less than this settlement) to “remove” 1/33,621.5th of the carbon dioxide emitted globally (as of 2019 – it’s an even smaller fraction now).
Wake up Apple shareholders. Cook is way past his sell by date and his mistakes (this settlement, he missed generative AI totally, $10+ billion on Project Titanic, etc.) and socialist wealth redistribution fantasies (“climate change”) are now costing Apple dearly.
I remember when they were concerned with making f**king amazing products.
I miss Jobs.
I have wanted him removed for years. NOT the leader Apple NEEDS!
The hits just keep coming.
Defrauded shareholders $490 million settlement
Cancellation of Project Titan
$2 billion EU fine
Epic account restoration in Europe and possibly in the US
Third Party AppStores BS in Europe
iPhone sales down in China ~24% YoY
Vision Pro not available in Europe
What’s next? Apple be sentenced for rape?
So when and how much of that $490 million settlement will shareholders actually get? Anything?