Apple threatens lawsuit over tablet bounty

Silicon Valley gossip blog Valleywag is in Apple’s doghouse for offering truckloads of cash in exchange for hard evidence of the rumored Apple tablet.

Yesterday, Valleywag launched the “Apple Tablet Scavenger Hunt,” which offered $100,000 for an hour with the touch screen device, which Apple has yet to discuss in public. Lesser prizes included $50,000 for photos of Apple chief executive Steve Jobs holding the tablet, $20,000 for a video of the device in action and $10,000 for “bona fide pictures.” Valleywag encouraged readers not to break the law, and said it will withhold the prize money until Apple announces the product, presumably to verify the submission’s authenticity.

But only a day later, an attorney representing Apple sent Valleywag a cease and desist letter, demanding an end to the scavenger hunt and an agreement to return any confidential material to Apple. “While Apple values and appreciates vibrant public commentary about its products, we believe you and your company have crossed the line by offering a bounty for the theft of Apple’s trade secrets,” the letter reads. Valleywag says the offer still stands.

Meanwhile, the tech blogosphere has picked apart the letter from attorney Michael Spillner of Orrick, Herrington & Sutcliffe, concluding that it confirms the tablet’s existence. Spillner refers to the tablet as an “unannounced and highly confidential Apple product,” an “unannounced product” and a “yet-to-be released product.” That’s the closest Apple has come to even talking about the tablet.

All of this just adds to the hype machine even more, but I kind of like it. Tablet stories are bordering on inanity now, and this is just the kind of fever pitch we need as we head towards an apparent January 27 announcement — itself just a rumor at this point. The question is, will Valleywag’s bounty turn up anything else of value?