[Invest&Law] 'GOS Lawsuit' Users Lose to Samsung... How It Differs from the iPhone Case

"Specific High-End Game Apps" vs. "CPU and GPU Performance for All Users"

After Galaxy S22 users filed a class action lawsuit against Samsung Electronics over the Game Optimization Service (GOS) performance degradation controversy and lost in the first trial, attention is being drawn to the difference between this outcome and the appellate court's partial recognition of Apple's liability in the 'iPhone performance degradation' case.

According to the legal community on June 25, the Seoul Central District Court Civil Division 21 (Presiding Judge Kim Ji-hye) recently ruled against the more than 1,880 plaintiffs in the first trial of a damages lawsuit filed against Samsung Electronics.

In 2022, Samsung Electronics made it mandatory to include GOS in the Galaxy S22, unlike previous models. This function reduces screen resolution by adjusting GPU (graphics processing unit) performance when running games or other applications that require high computational power. Users filed the lawsuit, each demanding 300,000 won, claiming that "GOS degrades device performance but this was not disclosed in advance."

The court acknowledged that Samsung Electronics had run advertisements that could have misled users into believing they could enjoy the fastest speeds without any limitations. However, the court stated, "GOS is only applied when running certain high-end game apps. This is not a factor that significantly influences the purchasing decisions of ordinary consumers," and therefore did not recognize liability for damages.

This case has drawn attention in comparison to lawsuits filed by users of older iPhone models against Apple. During the trial, Samsung Electronics argued, "(GOS) is only an issue in the app execution environment of specific game app users," and "there is a significant difference from the Apple case, where a function that reduced CPU performance for all users was installed."

Previously, in 2017, Apple added a function that reduced performance when it applied an operating system (iOS) update to iPhone 6·7 models and others. More than 60,000 users filed for damages in the Apple case. Although the first trial ruled against the plaintiffs, the decision changed in the appellate court, where only seven users appealed. At the end of 2023, the appellate court ruled in partial favor of the plaintiffs, ordering Apple to pay 70,000 won to each of the seven plaintiffs.

The appellate court in the Apple case pointed out that "Apple had a duty to provide sufficient explanation to the plaintiffs, who purchased iPhones in reliance on Apple, so they could choose whether to install the update, but violated this duty," resulting in users losing their opportunity to exercise choice.

Meanwhile, the Apple case is currently awaiting a Supreme Court decision. The court stated, "The case and its issues are complex and are under careful review." It has not yet been decided whether the Galaxy S22 users who lost in the first trial will appeal.