Apple will pay $250 million for misleading advertising of its AI on iPhones

  • Apple agrees to pay $250 million for exaggerating the capabilities of Apple Intelligence and Siri in the iPhone 15 and 16.
  • The agreement affects US buyers who purchased models between June 2024 and March 2025.
  • Users will be able to receive between $25 and $95 per device, depending on the number of claims.
  • The case underscores Apple's pressure in the AI ​​race against rivals such as Google, Microsoft, and OpenAI.

How to use Apple Intelligence on your iPad

Apple has taken an unusual step by accepting a disbursement of 250 million dollars to end a class-action lawsuit in the United States that accused it of exaggerating, in its marketing campaign, the real capabilities of the artificial intelligence of the iPhone 15 and iPhone 16. The American company thus closes a legal conflict that had been questioning for months the way in which it presented Apple Intelligence and the new Siri.

The case does not directly affect users in Spain or the rest of Europe, since The agreement only covers buyers in the United States.But it also sets a relevant precedent for the European market: to what extent can a large technology company promise AI functions that do not yet exist, or are under development, without crossing the line into misleading advertising?

Agreement on the delay of AI features in Siri
Related article:
Agreement reached regarding the delay of AI features in Siri and Apple Intelligence

What led Apple to pay $250 million for its AI

Apple Intelligence and Siri class action lawsuit

The origin of the conflict lies in the presentation of Apple Intelligence and a "revamped" Siri During WWDC 2024, the company's annual developer conference, Apple presented the idea of ​​a much smarter assistant, capable of understanding context, reading what was on the screen, linking actions between different apps, and even offering personalized responses based on user data.

Those capabilities were used as major advertising claim of the iPhone 15 Pro and the entire iPhone 16 family. Television commercials and online campaigns showed scenes in which Siri recognized people from their email, cross-referenced information between apps, and acted almost like a personal assistant who knew everything about the user. The lawsuit argues that, at the time those phones went on sale, those features simply weren't available.

The lawyers representing the consumers accused the Cupertino company of creating a “false impression” on immediate availability and effectiveness from Apple Intelligence. The document filed with the federal court in San Francisco goes so far as to claim that Apple promoted “AI capabilities that did not exist at the time, do not exist now, and will not exist for two years or more, if ever.”

The case became more complicated for the company when, in March 2025, Apple itself acknowledged that the More advanced features of the new Siri were delayed and withdrew some of its more aggressive advertising. For the plaintiffs, this confirmed that many buyers had decided to upgrade their iPhones based on features they couldn't use within the promised timeframe.

Who can get paid and how much will they receive for each iPhone?

The agreement, which still needs the final approval by a US judgeThe law establishes financial compensation for US consumers who purchased certain iPhone models during a specific period. Those covered include consumers who bought an iPhone 15 Pro, iPhone 15 Pro Max, or any model in the iPhone 16 series (including 16 Plus, 16 Pro, and 16 Pro Max) between June 10, 2024, and March 29, 2025.

According to the case documentation, Each eligible device may entitle the user to a payment of between $25 and $95The exact figure will depend on the total number of claims: if few people participate, the amount will be closer to the high end of the range; if the majority of affected buyers file a claim, the payment per iPhone will be lower.

The lawyers estimate that the agreement could cover tens of millions of iPhones sold in the United States, which places this settlement among the largest legal outlays in Apple's history. Even so, the company believes that paying the $250 million now is preferable to a lengthy and expensive trial with the risk of a larger penalty.

To access the money, buyers will have to submit a valid claim for each deviceFollowing the procedure that will be enabled once the judge gives final approval to the agreement. The final approval hearing is scheduled for June 17, 2026, and from then on, notifications will be sent to eligible users.

Apple's official position: pay, but deny guilt

Despite the multimillion-dollar payment, Apple has remained firm on one key point: does not admit to having engaged in deceptive advertisingIn its public statement, the company insists that it is closing the case in order to focus on its products and users, avoiding dedicating resources to a prolonged litigation.

In the statement released after the agreement was announced, the company asserts that it has resolved the matter for “to remain focused on what we do best: offering the most innovative products and services”This type of agreement without admission of liability is common in class action lawsuits in the United States, when the balance between the cost of the trial and the cost of the settlement tips towards the latter.

At the same time, Apple argues that, since the announcement of Apple Intelligence, it has been launching “dozens of AI-based features”such as live translations or improvements in image and text analysis. The problem, according to the plaintiffs, lies not in what has finally reached the user, but in what was promised as being available "now" and took months to materialize or still has no clear date.

The case has also been under scrutiny by advertising self-regulatory bodies and organizations in the United States. The National Advertising Division recommended Apple that it remove or modify the claim that Apple Intelligence features were “available now” on its website, and the company withdrew at least one television commercial that depicted Siri as more capable than it actually was at the time.

Siri delays and pressure in the AI ​​race

Beyond the economic impact, the agreement highlights the Apple's lag in the race for artificial intelligence. While Google mocks Apple's delayMicrosoft and various players in the OpenAI ecosystem have been launching generative models and advanced assistants in consumer products, while Apple has followed a series of ambitious announcements with partial rollouts and delays.

In 2024 the company opted for the umbrella of Apple Intelligence to encompass a series of AI features integrated into iOS, iPadOS, and macOS, with the new Siri as the main focus. However, the most striking features of that package—deep context understanding, full-screen reading, and the ability to control action sequences between apps—were the ones that took the longest to arrive or didn't arrive at all.

Over the months, Apple has been adjusting its strategy. Alongside internal development, the company has closed deals with third parties to rely on external AI modelsThe most talked-about is the agreement with Google to use Gemini-based technologies at the heart of Siri and some Apple Intelligence services, in exchange for an annual payment estimated at around $1.000 billion.

This shift is especially significant because, for the first time, a Apple's key consumer product relies on technology from a direct rivalIn Europe, the situation is further complicated by regulation: the Digital Markets Act (DMA) requires the company to open the door to other voice assistants on iOS, so Siri will no longer be the only default option for European users.

All of this comes on the eve of a new edition of the WWDC conference, where the company hopes to showcase a more mature version of its AI ecosystem. The timing of the agreement does not go unnoticedResolving the legal front before announcing the "final Siri" allows Apple to present itself at the event with its homework done, at least in terms of the courts.

Impact on users and the European market

Although financial compensation only applies to american consumersThe case has direct implications for Spain and the rest of Europe. First, because the same global campaigns seen in the United States also reached European markets, even if the legal conditions and the fine print varied from country to country.

Second, because the European Union has on the table a increasingly strict regulatory framework regarding AI and transparencyThe debate on how the capabilities of these systems are advertised fits perfectly with the new AI Regulation and with consumer protection rules, which already require that commercial information be truthful, clear and not misleading.

Apple's experience in the United States can serve as a cautionary tale for any major technology company that wants to... selling AI features still in the testing phase as if they were an integral part of the product. In Europe, where advertising regulators and consumer authorities are particularly vigilant regarding the digital economy, a similar case could trigger investigations, sanctions, and even coordinated class-action lawsuits.

For the European iPhone user, the immediate effect translates more into greater scrutiny of commercial promises than in money in their pockets. If Apple, having learned its lesson from the US experience, modulates its message and provides more details about which features will arrive later or in beta, buyers in Spain will have more room to make informed decisions based on realistic information.

Ultimately, this $250 million deal serves as a reminder that, in the midst of the artificial intelligence frenzy, Companies cannot afford to overdo it without costsApple navigates the situation with a significant but manageable payment, and affected consumers in the United States receive limited but symbolic compensation. For the rest of the world, the episode offers a clear lesson: before getting carried away by announcements about the “AI of the future,” it's wise to carefully examine which features are available today and which remain, for now, just a promise; examples such as fake trailers generated with AI They have shown the risks of accepting premature demonstrations as valid.


Charging iPhone
You might be interested in:
What should we do if our iPhone turns off suddenly
Add as preferred source