Apple's Proud AS Policy Meets the 'Grim Reaper' [Correspondent Diary]

Biden Orders US FTC to Develop Measures Against Anticompetitive Practices in Phone Repairs
Targets Apple for Hindering Independent and Self-Repairs
Apple Co-Founder Wozniak Criticizes, Saying "Started Apple While Repairing"

[Asia Economy New York=Correspondent Baek Jong-min] U.S. President Joe Biden has taken a stance to block the antitrust practices of corporations that burden ordinary citizens' lives, effectively targeting Apple's after-sales service (AS) policy. Given the strong will of the White House, there is growing analysis that Apple is likely to revise its AS policy, which it has maintained despite public criticism. If Apple modifies its AS policy, Korean consumers are also expected to benefit.

Apple CEO Tim Cook is touring an Apple Store located in LA.
[Photo by AP Yonhap News]

On the 9th (local time), President Biden signed a series of executive orders aimed at blocking antitrust practices by large corporations that have imposed burdens on ordinary citizens across various sectors in the U.S.

Among these executive orders, there is a provision to establish consumer-centered regulations for mobile phone after-sales service to secure competition in the science and technology sector.

The executive order instructs the Federal Trade Commission (FTC) to regulate mobile phone manufacturers from restricting customers from self-repairing or using private repair shops other than the manufacturers' official AS centers.

This measure is widely analyzed as being specifically aimed at Apple. The 'Fact Sheet' released by the White House includes a link to reports that Apple monopolizes repairs of Apple products by not supplying parts to private repair shops.

The article introduces a case where the 'MacBook Air' laptop, which can be repaired with simple part replacements, cannot be repaired at private repair shops because Apple does not provide the parts.

It explains that while repairs could cost a few hundred dollars if parts were available, Apple stores charge up to $1,200.

In addition to blocking parts supply, Apple's policy of voiding warranties if customers perform self-repairs or use private repair shops is also a source of consumer dissatisfaction.

Consumer groups in the U.S. dissatisfied with this situation have launched attacks against Apple but have repeatedly failed. Apple has used lobbyists to neutralize various bills that would allow private repairs.

[Image source=EPA Yonhap News]

This issue does not stop with Apple. There is a high possibility that companies like Microsoft, which have restricted consumers' repair rights, will also be affected.

While President Biden's actions are welcomed by consumers who have so far had to pay high costs and repair iPhones, iPads, and MacBooks at Apple Stores or official service centers reluctantly, it is an embarrassing situation for Apple.

Apple co-founder Steve Wozniak has also criticized Apple's AS policy. He said, "The reason personal computers (PCs) could be developed was because all repairs could be done personally," and criticized Apple's AS policy by stating, "If I had not been in an open environment, Apple would never have been born."

President Biden's approach is clearly aimed at reducing consumer burdens by utilizing fair trade authorities. The White House believes that consumer burdens have increased due to corporate mergers approved by the U.S. Federal Trade Commission (FTC) in the past.

Coincidentally, President Biden appointed Lina Khan, who is only 32 years old, as the FTC Chairwoman in a groundbreaking move. Before her appointment, Chairwoman Khan was famous as the 'Amazon Killer,' but now she must also take on Apple.

MSNBC assessed that although it is uncertain how long it will take for the FTC to establish new regulations, the strong support from the White House significantly increases the opportunity to reduce Apple iPhone repair costs.

This content was produced with the assistance of AI translation services.