Apple Agrees to $250 Million Settlement Over Allegedly Misleading Siri AI Ads
Apple made Apple Intelligence a centerpiece of its marketing for the iPhone 16 and iPhone 15 Pro lineups in late 2024, promoting more advanced AI capabilities for Siri. Some features did not perform as advertised, prompting consumers to file a class-action lawsuit alleging that Apple used misleading claims to drive sales of its new phones.
Apple has agreed to pay $250 million to settle the consumer class action over allegedly false advertising of Siri's AI features. The agreement covers tens of millions of users who bought an iPhone 16 or iPhone 15 Pro model in the United States. Eligible claimants are expected to receive $25–$95 per device, depending on the claim requirements.
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The history behind this eventApple Seeks Dismissal of Lawsuit Alleging It Misled Investors on Siri AI Progress
Apple promoted Apple Intelligence at WWDC in June 2024, saying Siri would gain personal context awareness and the ability to take actions across apps, but announced a delay in March 2025. Shareholders led by South Korea’s National Pension Service also allege that Apple misrepresented its compliance with a 2021 App Store injunction in the Epic Games case. The claims are tied to iPhone 16 sales and investor losses.
Apple asked the federal court in San Jose, California, on February 25, 2026, to dismiss the case. It said there was no evidence that the company knew in June 2024 that the two Siri features would be delayed or that it had guaranteed its compliance plan would be foolproof. The lawsuit covers investors who bought shares from May 3, 2024, through May 1, 2025, with the plaintiffs estimating losses in the hundreds of billions of dollars. The dispute also involves a 27% commission on external transactions, compared with the App Store’s original 30% fee.
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