Tech

Apple agrees to $250 million settlement over delayed Siri AI features

Eligible US customers who purchased devices between June 2024 and March 2025 may receive up to $95 per unit as part of the agreement reached ahead of the annual developer conference.

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Owen Mercer
Markets and Finance Editor
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Source: TechCrunch · original
Apple to pay $250M to settle lawsuit over Siri’s delayed AI features
Tech giant settles class-action claim alleging false advertising regarding iPhone 15 and 16 marketing

Apple has agreed to pay $250 million to settle a class-action lawsuit alleging false advertising concerning the delayed rollout of advanced artificial intelligence features for Siri. The legal action, which centres on claims that the technology giant exaggerated the capabilities of Apple Intelligence available with the iPhone 15 and iPhone 16, was resolved just prior to the company's annual developer conference.

The core of the dispute involves allegations that Apple created the impression that users purchasing these devices were acquiring fully functional, cutting-edge AI tools that were not actually available at the time of sale. Plaintiffs argue that the marketing campaign overstated both the readiness and functionality of the promised improvements to Siri, influencing buying decisions based on features that were incomplete or significantly delayed.

Under the terms of the proposed agreement, eligible customers in the United States who purchased the specified devices between June 10, 2024, and March 29, 2025, may receive up to $95 per device. While the Financial Times was the first media outlet to report the details of the settlement, the terms ensure that a specific window of purchases will be compensated for the perceived shortfall in advertised functionality.

Apple did not admit to wrongdoing in court but opted to settle the case rather than continue with litigation. The decision to resolve the matter comes as the company prepares to preview a version of its AI-enhanced Siri at its upcoming developer conference, which is scheduled to commence on June 8. This timing suggests the settlement was reached to clear potential legal hurdles before the major product announcement.

The lawsuit specifically targets the marketing of Siri improvements that were unveiled during WWDC in 2024. At that time, the company promoted a significantly upgraded version of the assistant designed to function more like modern AI chatbots, such as ChatGPT or Claude. The anticipated updates were intended to transform the user experience, though the full realisation of these capabilities has faced delays.

The settlement does not address the broader context of the technology powering these features, which has been subject to various reports and rumours. While initial suggestions pointed towards Google Gemini as the underlying engine, newer indications suggest the next iPhone operating system may allow users to choose from a range of third-party large language models. The resolution of this specific legal dispute leaves the future trajectory of Apple's AI strategy open to further evolution.

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