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Apple agrees to $250 million settlement over misleading Siri AI marketing claims

Apple will pay $250M to settle claims it advertised AI features on iPhone 16 that weren't ready at launch. About 37 million U.S. buyers can claim up to $95 each, pending court approval.

1 min read
Marketing

Apple Pays $250M to Settle AI Marketing Lawsuit

Apple has agreed to pay $250 million to settle a class action lawsuit accusing the company of marketing Apple Intelligence features that did not yet exist when it sold iPhones.

The federal lawsuit, filed in California's Northern District, claimed Apple violated consumer protection laws by advertising "Enhanced Siri features" and other AI capabilities during its June 2024 Worldwide Developers Conference. When the iPhone 16 launched in September, many of those features were missing or significantly limited.

Approximately 37 million eligible iPhone owners in the U.S. can claim up to $95 each. The settlement covers purchases made between June 10, 2024, and March 29, 2025.

What Buyers Claimed

Customers said Apple marketed its iPhones as "built for Apple Intelligence" while the devices lacked capabilities Apple had demonstrated months earlier. The lawsuit alleged Apple offered "a significantly limited or entirely absent version" of the promised features.

Apple was caught off-guard by consumer demand for the Siri AI upgrades, according to court filings. Buyers grew angry when the company delayed the features beyond the iPhone 16 launch date.

Next Steps for Claimants

Eligible customers will receive notification by email or mail with instructions to file claims on a settlement website. The settlement requires court approval.

If approved, this settlement would rank among Apple's largest, reflecting the scale of the marketing claims dispute.

For marketing professionals: This case illustrates the legal and reputational risks of promoting unreleased features. Understanding how to communicate product roadmaps responsibly is critical in AI marketing. Resources like AI for Marketing and the AI Learning Path for Marketing Managers cover ethical frameworks for AI-driven campaigns.

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