Apple to pay $250M to settle lawsuit over overstated iPhone AI features

Apple has agreed to pay $250 million to settle a shareholder lawsuit claiming it misled consumers about AI capabilities on iPhone 16 and some iPhone 15 models. The lawsuit arose because Apple delayed or did not deliver certain promised AI features, such as an upgraded Siri, leading to allegations of deceptive advertising. Eligible US buyers of these iPhones from June 2024 to March 2025 can claim compensation starting at $25 per device. Apple denies wrongdoing and says it plans to roll out additional AI features in future updates using Google's AI technology.