Apple has reached a $250 million settlement in a lawsuit that claimed the company exaggerated the functionalities of Apple Intelligence. The lawsuit asserted that Apple misled iPhone owners regarding its AI tools during the launch of the iPhone 16 in September 2024. The settlement suggests that U.S. consumers who acquired certain iPhone 15 and iPhone 16 models between June 10, 2024, and March 29, 2025, might qualify for a portion of the settlement.

Multiple class-action lawsuits addressing Apple Intelligence marketing have been consolidated, and both sides have opted to settle, according to a May 5 filing with the U.S. District Court in the Northern District of California. Following judicial approval, eligible Apple customers could receive compensation ranging from $25 to $95.

Apple has denied any wrongdoing, stating to the New York Times: “We resolved this matter to concentrate on what we do best, providing the most innovative products and services to our users.”

The lawsuit emerged following the rise of ChatGPT in 2022, which ignited a worldwide AI race. While companies like Google launched competitors to ChatGPT, Apple adopted a more measured approach. In 2024, Apple unveiled its AI tools branded as Apple Intelligence, touting features such as email composition and a more interactive Siri. The lawsuit claims that Apple did not fulfill its commitments regarding enhanced Siri functionalities and sophisticated AI capabilities, breaching consumer protection laws.

The slow development of an AI version of Siri has become a notable narrative within the tech industry. The revamped Siri is anticipated to debut at the WWDC 2026 event, delayed by two years.

The lawsuit contends that Apple oversold AI features that were never developed and remain unfulfilled. Ryan Clarkson of Clarkson Law Firm, involved in the class-action litigation, remarked, “We are proud to achieve a historic settlement on behalf of consumers who deserve to feel confident and secure when choosing where to invest their hard-earned money.” He highlighted the significance of such lawsuits in restoring balance between consumers and corporations, criticizing firms like Apple for employing arbitration clauses to evade responsibility.

Eligible iPhone models for the settlement comprise:

– iPhone 16
– iPhone 16e
– iPhone 16 Plus
– iPhone 16 Pro
– iPhone 16 Pro Max
– iPhone 15 Pro
– iPhone 15 Pro Max

Judicial approval is necessary for the settlement, and notifications will be dispatched to customers, along with a settlement website offering additional details regarding consumer rights.