Apple agrees to $250M settlement over delayed AI features

Apple agrees to $250M settlement over delayed AI features

Apple has agreed to pay $250 million to settle a class-action lawsuit that accused the tech giant of misleading customers over its Apple Intelligence features.

The settlement applies to people in the US who purchased iPhone 16 and iPhone 15 Pro models between June 10, 2024, and March 29, 2025.

Eligible claimants can receive $25 per device, which could increase or decrease up to $95 depending on claim volume and other factors.

Apple misled customers about AI features, claims lawsuit

The lawsuit, filed in 2025, claimed that Apple's advertisements created a "clear and reasonable consumer expectation" of the availability of Apple Intelligence features with the launch of iPhone 16.

It alleged that Apple's products provided a significantly limited or completely absent version of these features, thereby misleading consumers about their actual utility and performance.

AI features were initially expected in September 2024

Apple had previewed a range of AI-powered features for iPhones at its June 2024 Worldwide Developers Conference, including an improved version of Siri.

However, when iPhone 16 was launched in September, it was marketed as "built for Apple Intelligence," but lacked many capabilities that were teased earlier.

The company has since been gradually rolling out these new AI features and delaying the launch of a more personalized Siri.