Apple Inc. share price up, launches an iPhone 5 battery replacement program

Apple Inc. admitted in a statement that some of its smartphones sold two years ago were issued with faulty batteries. As a result, the company is launching a replacement program of its iPhone units faulty batteries.

Apple Inc. said in a note, which was cited by the Time: “Apple has determined that a very small percentage of iPhone 5 devices may suddenly experience shorter battery life or need to be charged more frequently.”

According to the information disclosed by the U.S. tech giant, the affected iPhone 5 units were purchased in the period between September 2012 and January 2013 and suffer shorter battery life. It is not yet clear how many iPhone devices have been affected but the replacement program will exclude both the iPhone 5S and iPhone 5C models.

Apple explained that each user can find out if their device is included in the replacement program. All they have to do is to input the devices serial number at the website of the iPhone 5 Battery Replacement Program.

The flawed batteries will be replaced for free at the companys retail stores and Apple Authorized Service Providers. The replacement campaign is available in the U.S. and China as of August 22nd, and will begin in other countries on August 29th. Users who have already replaced their batteries with new ones and have paid for the service can contact technical support to receive a refund.

The problem with the iPhone 5 devices batteries is not the first time when the company experiences issues related to faulty hardware. In October 2013, Apple recalled some iPhone 5S devices due to defective batteries. In 2006, another 1.8 million battery packs for iBook and PowerBook laptops were withdrawn from the market because of overheating problems.

Apple Inc. rose by 0.74% on Friday to close at $101.32 per share, marking a one-year change of +41.56%. Shares surged to an all-time high of $101.47 on Friday. The company is valued at $606.69. According to CNN Money, the 44 analysts offering 12-month price forecasts for Apple Inc. have a median target of $106.50, with a high estimate of $135.00 and a low estimate of $51.43. The median estimate represents a +5.11% increase from the last price of $101.32.