Apple’s (AAPL) move to slow some older iPhone models to mitigate the effect upon aging batteries is being investigated by the U.S. Department of Justice and the Securities & Exchange Commission, according to a report this afternoon by Bloomberg’s Tom Schoenberg and Matt Robinson, citing multiple unnamed sources.
Apple in late December said that it would replace batteries in older iPhones, after confessing the week before that it had in some cases limited the peak speeds of the processor in the phones to mitigate a situation where batteries would be taxed and would spontaneously shut down the phone.
The issue in the government’s request for information from Apple is whether the company violated securities laws with respect to disclosures about its software updates, the authors write. The inquiry is in “early stages,” they write. The SEC declined to comment, as did Apple, the authors write.
Apple shares are down $2.66, or 1.6%, at $165.30, in an overall down market.