Owners of some iPhones are in line to get cash payments of up to $95 from Apple after the company this week reached a $250 million settlement in a class-action lawsuit for false advertising of its artificial intelligence capabilities.
Apple trumpeted new AI features for its virtual assistant Siri when it rolled out the iPhone 16 in 2024, part of new software updates that the company billed as “Apple Intelligence.”
The company has been scrambling to keep up with tech rivals amid the AI boom but still hasn’t delivered on the Siri revamp.
The lawsuit, filed on behalf of U.S. consumers in the San Francisco federal court for the Northern District of California, alleged that Apple deceived consumers with a marketing campaign that promoted features that did not yet exist and misled them into buying the devices.
Lawyers for the iPhone buyers asked a court for preliminary approval of the proposed $250 million settlement, according to a court filling. If approved by a judge, it would be one of the biggest ever for Apple.
The settlement covers about 37 million devices bought in the United States.
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