Apple Settles $250 Million Lawsuit Over Missing AI Siri Feature, Offers Compensation to iPhone 16 Buyers
Apple has agreed to a $250 million settlement for misleading U.S. buyers of iPhone 16 and iPhone 15 Pro regarding Apple Intelligence features.
A $250 Million Settlement Over “Expectation vs. Reality” of Apple Intelligence
Apple has agreed to pay a $250 million settlement in a class-action lawsuit concerning its AI platform, “Apple Intelligence.” At the heart of the lawsuit is the claim that consumers were misled into believing they could access AI features when purchasing the iPhone 16.
Who is Eligible for the Settlement?
According to the proposed settlement, U.S. consumers who purchased any iPhone 16 model or the iPhone 15 Pro between June 10, 2024, and March 29, 2025, are eligible.
Qualified buyers who file claims may receive $25 per device. However, the amount could increase to as much as $95 per device depending on the number of claims and other factors, according to Clarkson Law Firm, which led the class-action lawsuit.
What Led to the Lawsuit?
The issue stems from Apple’s Worldwide Developers Conference (WWDC) in June 2024. During the event, Apple announced plans to integrate a suite of AI-powered features into its iPhones, including a personalized Siri.
However, when the iPhone 16 was released in September of the same year, many of the features showcased months earlier were not included. Despite this, Apple marketed the iPhone 16 as being “built for Apple Intelligence.” The lawsuit, filed in 2025, argued that this advertising created “clear and reasonable consumer expectations.”
The plaintiffs claimed that Apple’s products delivered “a significantly limited or entirely absent version of Apple Intelligence,” misleading consumers about the features’ actual utility and performance.
Delayed Features and Siri’s Postponement
In practice, Apple has gradually rolled out AI features like Image Playground, Genmoji, and ChatGPT integration with Siri. However, the most anticipated feature, the personalized Siri, has been delayed and is now expected to launch in late 2026.
In April 2025, the U.S. National Advertising Division advised Apple to “cease or modify” the “available now” claims on its Apple Intelligence webpage. Apple also withdrew advertisements featuring actress Bella Ramsey using the AI-enhanced Siri on the iPhone 16.
A Lesson in Marketing During the AI Era
This settlement serves as a cautionary tale about the pitfalls of relying on unfinished software features as key selling points for smartphones. Marketing such features before they are ready can risk eroding consumer trust.
Apple now faces the challenge of rebuilding its AI strategy. Under its revamped approach, the company must find ways to effectively deliver the promised value of Apple Intelligence to consumers. More than the financial cost of the settlement, restoring trust in the brand will be the true test for Apple in the coming years.
Frequently Asked Questions
- How can I claim the settlement amount?
- U.S. residents who purchased any iPhone 16 model or iPhone 15 Pro between June 10, 2024, and March 29, 2025, are eligible. Details on how to file a claim will be provided after the settlement is approved by the court.
- When will the personalized Siri feature be available?
- The release of the personalized Siri has been significantly delayed, with Apple now aiming for a launch in late 2026. The exact timeline will be confirmed by Apple in future announcements.
- Are iPhone buyers outside the U.S. eligible for the settlement?
- This settlement applies only to U.S. consumers. Buyers from other countries, including Japan, are not included in this case.
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