LONDON — iPhone owners may receive cash payments of up to $95 following a $250 million settlement reached by Apple in a class-action lawsuit over false advertising related to its artificial intelligence features.
The legal action stemmed from claims that Apple misled consumers during the introduction of the iPhone 16 in 2024 by promoting new AI capabilities for its virtual assistant Siri as part of its “Apple Intelligence” initiative. However, two years later, these promised features have yet to materialize.
The lawsuit was initiated in a federal court in San Francisco, alleging that Apple’s marketing campaign promoted features that were not available, thereby misleading customers into buying the devices.
A court filing indicated that lawyers for the affected consumers have sought preliminary approval for the proposed settlement, which, if sanctioned by a judge, would mark one of the largest settlements concerning Apple.
This settlement would apply to around 37 million devices purchased in the U.S. between June 10, 2024, and March 29, 2025, covering all iPhone 16 models as well as the iPhone 15 Pro and iPhone 15 Pro Max.
Eligible owners may receive a minimum payment of $25 per device, with the potential to increase to $95 depending on the total number of claims filed and other considerations.
Notifications will be sent via email or post regarding how to file a claim on a designated settlement website.
In a statement, Apple acknowledged the settlement, attributing it to claims surrounding the availability of two additional features. The company expressed a desire to concentrate on innovation rather than legal disputes.
Consumer reaction was notably negative when it became clear that the anticipated Siri AI functionalities would be delayed. Many buyers reportedly felt they would have reconsidered or paid less for the devices had they known the enhanced features weren’t ready for launch.
While Apple continues to develop its AI capabilities, competitors like Google and Samsung have been more actively introducing similar technologies in their products. The company is anticipated to unveil the awaited Siri upgrades during its upcoming annual developer conference.
Apple stated that it has launched numerous features since the introduction of Apple Intelligence, including Visual Intelligence and Live Translations.
