Frank M. Fazio thinks that Siri is so bad that he has not only sued Apple(AAPL), he wants the suit to be a class action.
The complaint, filed in the U.S. District Court of Northern California, states that the iPhone 4 S Siri feature does not perform as advertised.
The complaint states, “Notwithstanding Apple’s extensive multi-million dollar advertising campaign showcasing the Siri feature and the fact that the iPhone 4 S is more expensive than the iPhone 4, the iPhone 4 S’s Siri feature does not perform as advertised, rendering the iPhone 4 S merely a more expensive iPhone 4.”
The basis of the claim lies in the assertion that iPhone 4 S is the same as iPhone 4. The basis of damages is that iPhone 4 S costs $100 more than iPhone 4.
The key question for investors is determination of the merits of the lawsuit. After all it is the popularity of Siri that helped Apple report blowout earnings for the last quarter. The blowout earnings launched the present strong leg in Apple stock price.
My own analysis concludes that the law suit will turn out to be immaterial to Apple stock performance for the following reasons.
Siri Is In Beta
Apple has clearly stated that Siri is in Beta. The word ‘Beta’ has now become a part of our popular lexicon. We did an informal survey of non-tech savvy people and found over 90% had a pretty good idea that Beta means the product is not finished and is in a testing phase…Read more at Forbes
