Apple to pay $250M to settle lawsuit over Siri’s delayed AI features

Source: TechCrunch

Image Credits: Cheng Xin / Getty Images

Settlement Overview

Apple has agreed to pay $250 million to settle a class action lawsuit over how it marketed its AI features ahead of the launch of the iPhone 16. The settlement was first reported by the Financial Times. Apple did not admit wrongdoing but chose to settle rather than continue litigation. Under the agreement, eligible U.S. customers who purchased the iPhone 15 or iPhone 16 between June 10 2024 and March 29 2025 could receive up to $95 per device.

Background of the Lawsuit

The lawsuit alleged that Apple exaggerated the breadth of features promised by Apple Intelligence, including a significantly upgraded version of its assistant, Siri. Plaintiffs claimed the company created the impression that advanced AI capabilities would be available sooner than they actually were, overstating both the readiness and functionality of these features. As a result, buyers of the iPhone 15 or iPhone 16 believed they were paying for cutting‑edge AI tools that were not yet available, framing the case as false advertising.

Implications and Future AI Plans

Apple has been promoting a more advanced Siri since unveiling Apple Intelligence at WWDC 2024. The anticipated updates are expected to make Siri function more like modern AI chatbots such as ChatGPT or Claude. Rumors suggest the upgrades could be powered by Google Gemini, while newer reports indicate that the next iPhone operating system may let users choose from a variety of third‑party large language models.

The settlement arrives ahead of Apple’s annual developer conference on June 8, where the company is expected to preview a version of its AI‑enhanced Siri.