GoKawiilApple is settling a lawsuit related to the delayed rollout of Apple Intelligence features. Apple/Zooey Liao/CNET
If you bought an iPhone 16 or iPhone 15 at launch so you could start playing with the new Apple Intelligence features, you’ll remember the hype didn’t match the reality: The signature AI abilities weren’t present, and when some arrived later, they weren’t what Apple promised. Now, due to a settlement moving through the courts, you may be able to claim part of a quarter of a billion dollars.
Apple settled a shareholder lawsuit in May, agreeing to pay $250 million to customers who bought the iPhone 16 and some iPhone 15 models during a specified period. The lawsuit alleged that Apple misled customers by promising AI features that didn’t ship when the new devices did. Payouts between $25 and $95 per eligible device are expected.
Apple lit up its flagship New York City store to resemble Siri’s new color scheme. Bridget Carey/CNET
In an earlier statement to CNET Managing Editor David Lumb, an Apple spokesperson said, “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.”
According to an email from Clarkson Law Firm, the outfit that brought the lawsuit, the case has moved to the next step as of July 17. “The Court has granted preliminary approval of the settlement,” the firm says. “This means the Court has reviewed the proposed terms and found them sufficient to move forward to the next phase; it is not a final ruling on the settlement’s fairness.”
Why is there a lawsuit over Apple Intelligence?
When Apple advertised its new iPhone 16 lineup in 2024, it emphasized how the models were optimized for AI features such as an enhanced Siri that could act as an intelligent agent. When the phones did arrive, Apple Intelligence wasn’t yet ready; its first features didn’t arrive until iOS 18.1, five weeks later.
According to the proposed settlement, “Apple allegedly saturated the market with deceptive ads, inducing consumers to purchase iPhones based on the promise of certain enhanced Siri features.”
Some features of Apple Intelligence did ship soon after the introduction of the iPhone 16 and iOS 18, including Visual Intelligence, Live Translation, Writing Tools, Genmoji and Clean Up. But those weren’t the advanced features Apple highlighted. In fact, the type of intelligent interactions Apple advertised are only starting to show up in Siri AI, which is part of iOS 27 that’s expected to be released later this year. The public beta of iOS 27 is available now.
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