Apple Settles Apple Intelligence Advertising Lawsuit for $250 Million
Apple has agreed to pay $250 million to settle a class-action lawsuit filed in the U.S. District Court for the Northern District of California. The lawsuit alleged that the company misled consumers by advertising Apple Intelligence features, including an enhanced Siri, that were not available at the time of the iPhone 16 release. The proposed settlement covers approximately 37 million iPhone devices purchased in the United States.
Settlement Terms
Total Amount: $250 million.
Covered Devices: The settlement includes purchases of the following devices made in the U.S. between June 10, 2024, and March 29, 2025:
- iPhone 15 Pro
- iPhone 15 Pro Max
- iPhone 16
- iPhone 16 Plus
- iPhone 16 Pro
- iPhone 16 Pro Max
- iPhone 16E
Eligibility and Payouts:
- Eligible consumers may receive a presumptive payment of $25 per device.
- The final payment may vary based on the number of claims filed, but will not exceed $95 per device.
- The settlement amount includes attorneys' fees and administrative costs, which will reduce the total distributed to claimants.
Claims Process:
- Claimants must provide proof of purchase, including a device serial number, Apple Account information, and phone number.
- Notices regarding claims will be sent to eligible customers by email or mail within 45 days of preliminary approval.
- A settlement website with detailed instructions and a contact number will be made available in the coming weeks.
- An online social media campaign will also provide information about the settlement.
Background
- Apple introduced its "Apple Intelligence" platform at its Worldwide Developers Conference in June 2024, which included promises of an enhanced Siri with AI-driven capabilities.
- The lawsuit claimed that Apple's marketing materials created the impression that these advanced AI features would be available at or shortly after the launch of the iPhone 16 series.
- Apple Intelligence partially launched in September 2024, but some features, including the enhanced Siri capabilities, were delayed and remain unreleased as of the settlement date.
- In March 2025, Apple stated that these enhanced Siri features would be delayed and are expected to be delivered in future software updates at no extra cost.
Apple's Position
Apple has denied any wrongdoing in connection with the lawsuit. In a statement, an Apple representative said the company has introduced dozens of Apple Intelligence features to users since launch and chose to settle the matter to focus on product innovation. The company stated it acted in good faith and in accordance with applicable laws.
Related Developments
- The Better Business Bureau's National Advertising Division found that Apple's claim that "Apple Intelligence is available now" conveyed that the updated Siri was available at launch, which it was not.
- Apple announced in January 2025 it would use Google's Gemini AI models for an upgrade to its on-device assistant. Google later indicated the upgrade would arrive before the end of 2026.
- The settlement was announced ahead of Apple's annual developer conference, where the company is expected to preview a version of its AI-enhanced Siri.
Previous Siri-Related Settlement
In May 2024, Apple agreed to pay $95 million to settle a separate class-action lawsuit regarding Siri privacy practices. That settlement addressed claims of "unlawful and intentional recording" of conversations via Siri, covering devices purchased between September 17, 2014, and December 31, 2024. Payouts for that settlement began in early 2025, with final payments of approximately $8.02 per device.