Some iPhone owners could get up to $95 payment after Apple agrees to settle case for $250 million
LONDON — Owners of some iPhones are set to get cash payments of up to $95 from Apple after the company reached a $250 million settlement Tuesday in a class-action lawsuit over false advertising about its artificial intelligence capabilities.
Apple announced new AI features for its Siri virtual assistant when it rolls out the iPhone 16 in 2024, as part of new software updates the company dubbed “Apple Intelligence.”
The company has struggled to keep pace with its tech rivals amid the AI boom, but still hasn’t implemented a Siri overhaul two years later.
The lawsuit, filed on behalf of U.S. consumers in the San Francisco federal court for the Northern District of California, alleged that Apple deceived consumers with a marketing campaign promoting features that did not yet exist and tricked them into purchasing the devices.
Lawyers for the iPhone buyers have asked the court for preliminary approval of the proposed $250 million settlement, according to a court filing. If approved by a judge, it would be one of the biggest Apple has ever made.
The settlement covers approximately 37 million devices purchased in the United States between June 10, 2024 and March 29, 2025, including all iPhone 16 models as well as the iPhone 15 Pro and iPhone 15 Pro Max.
Owners are entitled to a payment of at least $25 for each device, and that amount could go up to $95 depending on the number of other claims filed “and other factors,” the filing states.
Customers will be informed by email or post that they can file a claim on a settlement website, it says.
“Apple has reached an agreement to resolve complaints related to the availability of two additional features,” the company said in a statement. “We resolved this issue to stay focused on what we do best, which is providing the most innovative products and services to our users.”
Apple, based in Cupertino, California, was caught off guard by intense consumer interest in Siri AI features. Buyers were unhappy after discovering that the new features would be released later than expected, the filing said.
They “would not have purchased the eligible devices or paid significantly less if they had known that enhanced Siri features were not available,” the document states.
Apple’s AI features remain in development even as rivals Google and Samsung deploy more of the technology on their own devices. The company is expected to unveil its Siri upgrade this year, likely at its annual developer conference next month.
Apple said in its statement that it has “introduced dozens of features” since the launch of Apple Intelligence, such as visual intelligence and live translations.
