Apple pays $250 million for unfulfilled AI promises

Apple recently decided to pay a staggering $250 million to settle a lawsuit accusing it of false advertising regarding the artificial intelligence (AI) capabilities of its iPhones. This decision could be seen as an implicit admission from the Cupertino firm, which allegedly sold its devices promising AI features that were not yet available.

The plaintiffs, made up of dissatisfied users, filed a lawsuit against Apple, claiming the company failed to deliver on its promises. During the annual WWDC 2024 conference, Apple enthusiastically announced the launch of Apple Intelligence, an ambitious overhaul of its voice assistant Siri, powered by generative AI. This new version was supposed to enable Siri to navigate between applications, understand users' personal context, and act on their behalf. However, to date, this enhanced version has yet to be released, causing frustration among the brand's loyal customers.

Promoting Features That Did Not Exist

In the United States, several consumers filed a class-action lawsuit, accusing Apple of promoting AI capabilities that were not available at the time of the announcements and which, according to them, would not be available for several years. The plaintiffs specifically pointed to television advertising campaigns featuring Bella Ramsey, known for her roles in Game of Thrones and The Last of Us. These ads were pulled after the delay of Siri was officially confirmed. According to the plaintiffs, Apple created a clear and reasonable expectation among consumers, who purchased iPhones thinking they would benefit from advanced AI features, while they only had access to a limited or even non-existent version of Apple Intelligence.

To avoid prolonging the legal battle, Apple chose to settle the matter amicably for $250 million. This settlement concerns U.S. buyers of the iPhone 15 Pro and all models of the iPhone 16 who purchased their device between June 10, 2024, and March 29, 2025. Each eligible customer could receive compensation of up to $95 per device.

Apple Wants to "Focus on What It Does Best"

Despite this settlement, Apple does not admit any wrongdoing. In a statement, the company emphasized that since the launch of Apple Intelligence, it has introduced numerous features available in multiple languages, integrated across all Apple platforms, and designed to respect user privacy at every stage.

Apple stated that it reached this amicable agreement to resolve disputes regarding the availability of two additional features. The company claims it wants to focus on what it does best: providing its users with innovative products and services.

Attention now turns to the next steps for Apple, especially after signing a significant agreement with Google for Gemini to power future AI features of the iPhone. Rumors are also circulating about the possibility that iOS 27 will allow users to choose their AI model from several third-party options.