Apple Inc. has agreed to pay $250 million (£184 million) to settle a lawsuit accusing the company of misleading consumers about artificial intelligence features promoted for newer iPhones.
The proposed settlement, filed in a federal court in California, resolves claims made in a consolidated class action lawsuit brought by U.S. customers who purchased iPhone 15 and iPhone 16 models between June 2024 and March 2025.
Under the agreement, eligible buyers in the United States could receive compensation ranging from $25 to $95.
The lawsuit alleged that Apple falsely advertised AI-powered features under its “Apple Intelligence” platform, particularly enhancements promised for the Siri voice assistant.
According to court filings, plaintiffs argued that Apple marketed AI capabilities that were either unavailable at launch or not yet fully developed, while presenting them as major innovations for new iPhone models.
Apple denied wrongdoing as part of the settlement. A company spokesperson stated that the case focused on “the availability of two additional features” connected to the Apple Intelligence rollout and said the company resolved the matter to remain focused on innovation and product development.
The lawsuit also claimed Apple intensified AI-related marketing in an effort to compete with rivals such as OpenAI and Anthropic amid growing competition in the AI sector.
Critics alleged that Apple promoted a significantly upgraded version of Siri as a transformative personal AI assistant, despite some features not being available to users at the time the devices were released.
