Apple removes cable maker Monster from MFi program in wake of Beats lawsuit

Posted:
in General Discussion edited June 2015
Electronics maker Monster is no longer allowed to manufacture licensed "Made for iPhone" accessories and must stop selling its current stock by October, having been booted from Apple's certification program following a January lawsuit against Apple subsidiary Beats.




Monster was informed of Apple's decision last month, according to the Wall Street Journal. The license was reportedly withdrawn because a tie-up between the two firms was "no longer 'mutually beneficial.'"

Monster sued Beats in January of this year, alleging that Jimmy Iovine and Dr. Dre essentially stole Beats from Monster and its CEO, Noel Lee. Monster designed the first iterations of Beats headphones, and manufactured many of the early models.

Through the suit, Monster and Lee are seeking putative damages. They argue that Lee's stake --?which was at five percent as late as 2013 before being drawn down to nothing -- should be worth at least $100 million following Apple's $3 billion acquisition of the company.

Monster general counsel David Tognotti told the Journal that his firm's business would be substantially impacted by the revocation of its Apple license, saying that nearly 25 percent of its products were manufactured under the MFi program, trigger to more than $12 million in license payments to Apple since 2008.

"It shows a side of Apple that consumers don't see very often," Tognotti told the paper. "Apple can be a bully."
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Comments

  • Reply 1 of 54
    nhtnht Posts: 4,522member
    Lol. This would be like my neighbor suing me and then being surprised and hurt I won't lend him my lawnmower anymore.
  • Reply 2 of 54
    john.bjohn.b Posts: 2,740member
    monster wrote: »
    "Apple can be a bully."

    Pot calling the kettle black...
  • Reply 3 of 54
    Monster started it. Apple simply ended it. They are not bullying. What's that old saying, oh yea, don't bite the hand that feeds you.
  • Reply 4 of 54
    Good!

    At least Apple's product model isn't based on convincing people that a $100 cable is better than a $2 one.
  • Reply 5 of 54
    moreckmoreck Posts: 187member
    "Apple can be a bully." That's what you get, a**hole.
  • Reply 7 of 54
    calicali Posts: 3,494member
    This is a scumbag company. I would cut ties too.

    They actually tried suing a group of Trick-or-Treaters too. Pathetic.
  • Reply 8 of 54
    aenghusaenghus Posts: 14member
    Monster's business model (and motto): "Let's hope we can sell this expensive cable before the chump figures out it's unnecessary."
  • Reply 9 of 54
    How is apple being a bully here, i probably wouldnt want anything to do with someone who tried suing me either!!
  • Reply 10 of 54
    mstonemstone Posts: 11,510member
    Quote:

    Originally Posted by AppleInsider View Post



    They argue that Lee's stake --?which was at five percent as late as 2013 before being drawn down to nothing -- should be worth at least $100 million following Apple's $3 billion acquisition of the company.

    What does this mean? If Lee's stake in Beats was drawn down to nothing prior to the Apple buyout, how can he be owed anything?

  • Reply 11 of 54
    lymflymf Posts: 65member
    Don't poke the bear... Don't poke the bear... *poke*
  • Reply 12 of 54
    apapapap Posts: 1member

    "Apple can be a bully" is an sane person saying "Monster can be stupid".

    Wait, who is the really stupid one, the one who advised Monster to sue Beat (a subsidiary of Apple)? It was her lawyer/Counsel.

    Oh, but wait again, who get paid for Monster to sue Apple? My apology, the stupid one was indeed Monster.

  • Reply 13 of 54
    Monster is an infamous bully:

    http://www.bluejeanscable.com/legal/mcp/
  • Reply 14 of 54
    pistispistis Posts: 247member



    Oh crap , didn't see that coming, duh  , total Idiots

  • Reply 15 of 54
    lkrupplkrupp Posts: 9,472member

    Anti-competitive. Bad Apple. Where’s the government when you need them to slap the bully? Maybe Michael Bromwich can stop this illegal act before it damages Monster any further.

     

    Well, that’s what the iHaters and trolls will say. I’m surprised we haven’t read it yet.

  • Reply 16 of 54
    elehcdnelehcdn Posts: 385member
    Quote:

    Originally Posted by Carrier Wave View Post



    Monster is an infamous bully:



    http://www.bluejeanscable.com/legal/mcp/



    Yep, and this article too,

     

    https://www.techdirt.com/articles/20130203/23380821872/monster-cable-finds-itself-other-side-trademark-case-still-losing.shtml

     

    Here is the funniest thing ... the huckster Noel Lee got totally taken advantage of by Jimmy Iovine and signed a really crappy contract. Sad part to me is that Beats original partner, SLS, probably would have built good headphones, rather than the overpriced crap that Monster came up with. 

     

    http://gizmodo.com/5981823/beat-by-dre-the-inside-story-of-how-monster-lost-the-world

  • Reply 17 of 54
    buzdotsbuzdots Posts: 451member
    Quote:

    Originally Posted by Carrier Wave View Post



    Monster is an infamous bully:



    http://www.bluejeanscable.com/legal/mcp/

     

    Blue Jean Cable Response



    Holy Crap!  That is the best KMA letter I have ever read.

  • Reply 18 of 54
    [I]The Social Network[/I]
  • Reply 19 of 54
    Personally, I don't see the problem. I mean, the MFi program has no value anyways because Apple has been on a steady deathwatch since Android took over like 80% of the worldwide phone market, and Apple Music is dead on arrival because everyone loves their Rdio or Pandora or Spotify or Tidal. Ever since Steve died, Apple is a dead man walking. Time to end this farce and shut Apple down and give the money back to the shareholders. Monster is better off with Team Android.
  • Reply 20 of 54
    xixoxixo Posts: 430member

     

    that gizmodo story is hilarious.

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