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iPhone 'Antennagate' site offers payout to usersiPhone 4 owners may be eligible for a payout from Apple now that a class action lawsuit was settled last month. CNET's Kara Tsuboi reports on the history of the "Antennagate" issues and why Apple may now have to shell out hundreds of millions of dollars.
When the iPhone 4 went on sale in June of 2010, it was an instant hit. This really hot. Selling nearly 2 million units in the first 3 days but the phone's new design instantly sparked lawsuits claiming the phone was defective because of reception issues. I think when you're grabbing it like with your whole hand, you're covering up some part of the antenna and that's probably messing you up. People started calling this phenomenon antenna gate which is kind of like Water Gate and any other sort of scandal primarily because Apple didn't really talked about it for a couple of weeks. To a peace angry customers, Apple began offering free cases to solve the problem but still the lawsuits persisted and just last month, the settlement was reached and Apple agreed to pay out $15 to qualified users. In terms of size, this covers estimated 25 million in class so times $15 per bumper, that's about $375 million. They should have tried to take care of it before it ever happened, you know, and before they released it but at least they're doing something. The newly launched web page, iphone4settlement.com explains the rules of eligibility, claims need to be filed by August 28th. In San Francisco, I'm Kara Tsuboi, cnet.com for CBS News.