Siri wasn't so smart after all; Apple to pay $250 million to iPhone buyers
Apple promoted non-existent AI capabilities for its not-so-smartphones
Like a proud parent touting a child’s imagined smarts, Apple claimed back in 2024 that iPhone buyers would be getting a device with a super-smart Siri, one possessed of advanced artificial intelligence capabilities.
But alas, the company has agreed to tone down its claims and pay $250 million to settle a class action lawsuit that accused it of having “promoted AI capabilities that did not exist at the time, do not exist now, and will not exist for two or more years” in order to boost iPhone sales.
In fact, Apple’s more “personalized” version of Siri is still struggling to make the grade and is not yet available.
The Better Business Bureau’s National Advertising Division, the US advertising watchdog, had also concluded that Apple falsely suggested the new AI-powered Siri was “available now”.
Lost its edge?
In the suit, the plaintiffs said the exaggerated claims came because Apple was being perceived as having lost its edge.
“Apple badly needed a perceived AI breakthrough to recapture consumer enthusiasm. That came in mid-2024 when Apple launched a sweeping marketing campaign introducing ‘Apple Intelligence,’ a suite of supposed next generation generative AI features, to promote its new iPhone 16 lineup. Apple marketed the iPhone 16 as ‘[t]he first iPhone built for Apple Intelligence,’” the suit alleged.
“One of Apple’s most prominent ad campaigns coincided with the official launch of the iPhone 16 and featured acclaimed actor Bella Ramsey, star of Game of Thrones and The Last of Us, showcasing Siri’s AI capabilities. These commercials depicted a fully operable Enhanced Siri working as advertised,” the suit further argued.
“These ads aired extensively across television, YouTube, social media, and even in movie theaters, amplifying consumer belief that Enhanced Siri was real, available, and revolutionary,” it said.
Settlement filed, awaiting judge’s approval
The settlement filed Tuesday for court approval, which includes no admission of wrongdoing by Apple, covers roughly 36m eligible devices – the iPhone 16, as well as the iPhone 15 Pro and 15 Pro Max – bought in the US from 10 June 2024 to 29 March 2025.
“We resolved this matter to stay focused on what we do best: delivering the most innovative products and services to our users,” Apple told the Financial Times.
Each class member could receive $25 per device, a sum that could reach $95 million depending on the number of approved claimants.
“We are proud to secure a historic settlement on behalf of consumers who should feel confident and protected when deciding where to spend their hard-earned dollars,” said Ryan Clarkson, founder and managing partner of Clarkson Law Firm, which brought the suit on behalf of consumers. “We are at an inflection point with AI, and the choices companies and regulators make now will shape how this technology impacts everyday people.”
Apple denied any wrongdoing in the settlement.