Apple to pay $250M to settle claims it overstated AI features on iPhone 16 and 15 models.

Apple agreed to pay $250 million to settle class action lawsuits accusing it of misleading consumers about the capabilities of its Apple Intelligence AI system on iPhone 16 and some iPhone 15 models. The lawsuits claimed Apple oversold AI features that were not available at launch, such as enhanced Siri functions and notification summaries, leading to consumer disappointment and feature rollbacks. The settlement awaits court approval, and eligible buyers can claim up to $95 per device. Apple denied wrongdoing but aims to focus on delivering innovative products while navigating challenges in the competitive AI technology race.