iPod manufacturer withdraws libel action against journalists

By Simon Aughton

Posted on 4 Sep 2006 at 10:52

A Taiwan iPod manufacturer has withdrawn a libel action against two journalists who reported on conditions at its plant in China's Shenzhen province.

Foxconn and the journalists' employer, the China Business News newspaper, issued a joint statement saying that they had resolved their dispute and apologised to each other for 'for the disturbances brought to both of them by the lawsuit'.

Foxconn had earlier reduced its damages claim against the report's author, Wang You and editor Weng Bao from 30 million yuan to just one yuan.

Wang You's report was picked up by the UK's Mail on Sunday newspaper prompting Apple to investigate the plant. The audit absolved Foxconn of most of the report's allegations of long hours, low pay and poor working and living conditions.