Apple agrees to $250 million settlement over iPhone AI claims

Apple has agreed to pay $250 million to settle class-action lawsuits alleging it misled US buyers about AI features on select iPhone models. Eligible consumers who purchased iPhone 16 series or certain iPhone 15 Pro models between June 10, 2024, and March 29, 2025, can claim up to $95 each. The company denied wrongdoing in the proposed deal.

Apple reached a settlement to resolve claims that it misrepresented the availability of Apple Intelligence features, particularly enhanced Siri capabilities, on iPhone 16, iPhone 16E, iPhone 15 Pro, and iPhone 15 Pro Max devices. The lawsuits stemmed from advertising that highlighted features like an upgraded Siri, which did not launch with the iPhone 16 in September 2024 or arrive as promised on older models. Apple pulled some ads after announcing delays in March 2025 and has yet to deliver the full features, though it anticipates future software updates at no extra cost, according to the settlement terms reported by The Financial Times and CNET on May 5, 2026. The deal awaits judicial approval and does not require Apple to admit fault. Qualifying US buyers can claim from the $250 million pool, starting at $25 per device depending on claims filed, with a maximum of $95 each. An Apple spokesperson stated, 'Apple has reached a settlement to resolve claims related to the availability of two additional features. We resolved this matter to stay focused on doing what we do best, delivering the most innovative products and services to our users.' The company cited rolled-out features like Visual Intelligence, Live Translation, Writing Tools, Genmoji, and Clean Up since the partial Apple Intelligence launch. Apple plans to introduce the new Siri this year via iOS 27, powered partly by Google's Gemini models.

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Apple introduced Siri AI at its Worldwide Developers Conference, promising an enhanced assistant that handles complex tasks across apps. The update, part of iOS 27 and other operating systems, will roll out as a beta later this year. It integrates Google's Gemini models while maintaining privacy commitments.

Apple has agreed to pay $250 million to settle claims that it misled customers about AI capabilities on new iPhones. Eligible buyers of certain models may receive between $25 and $95 each.

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Apple held its Worldwide Developers Conference on Monday and announced a major overhaul to its Siri assistant along with new versions of its operating systems. The company released the first developer betas for iOS 27 and other platforms immediately after the keynote.

Apple is set to release its premium iPhone 18 models in fall 2026 while shifting more affordable versions to spring 2027. The change marks a departure from the company's usual single-fall launch cycle. Rumors also point to a new foldable device joining the lineup.

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Bloomberg's Mark Gurman reports that Apple plans to release three additional features for iOS 27 later this year. The features were not announced during WWDC 2026. They include a new watch face, a customizable Camera app, and expanded third-party chatbot support in Siri.

Snap introduced its latest augmented reality eyewear on Tuesday, positioning the new Specs as a middle ground between full headsets and lighter AI glasses.

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