Apple Will Pay $250M to Settle Allegations It Misled iPhone Buyers About AI
Apple has settled several legal complaints alleging that it misled people about the capabilities of AI on its iPhones. The company on Tuesday settled a shareholder lawsuit, agreeing to pay $250 million to qualifying consumers who bought iPhone 16 and certain iPhone 15 models within a specified period.
This is another setback for Apple, which has struggled to incorporate generative AI features into its smartphones compared with its Android rivals. The much-hyped Apple Intelligence only partially launched on the iPhone 16 line in September 2024, with some features arriving later and others, like an upgraded Siri, delayed through 2025 and not yet making it to the phones.
This led to class action lawsuits alleging that Apple misrepresented its iPhones' AI capabilities, which are addressed in this settlement. As part of the settlement, however, Apple denied any wrongdoing. When reached for comment, Apple cited the dozens of features that have...
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