Apple defrauded $250 million through AI promotion! For iPhone 15 and 16 purchased during a specific period, each device can receive up to $95.

Apple agrees to pay $250 million to settle claims of misleading AI promotions. Consumers in the U.S. who purchased an iPhone 15 Pro or the 16 series during a specific period may receive up to $95 per device.

Apple to pay $250 million for deceptive AI advertising, with U.S. consumers eligible for compensation

Apple has recently reached settlements in multiple lawsuits over misleading consumers about iPhone AI features and agreed to pay $250 million to resolve the related class-action cases.

According to CNET, under the settlement agreement, any consumer residing in the United States who purchased the following models between June 10, 2024, and March 29, 2025—iPhone 16 series, iPhone 16e, iPhone 15 Pro, or iPhone 15 Pro Max—may participate in the distribution of the $250 million settlement fund.

Each eligible device will initially receive $25, and the final amount will depend on the total number of claim submissions, with a maximum payout cap of $95 per device.

Deceptive AI promotions spark controversy; regulators and plaintiffs say features weren’t ready

Apple is being accused of misleading consumers, primarily due to marketing tactics. The plaintiffs allege that Apple promoted AI features in advertisements that did not exist at the time, do not exist now, and will not exist even for the next two years or longer—in an effort to boost iPhone sales.

Apple announced nearly two years ago that it would roll out a more personalized version of Siri, but the feature has not yet been fully released. The U.S. advertising regulator, the National Advertising Division of the Better Business Bureau, also concluded that Apple incorrectly implied that the new AI-powered version of Siri was already available.

Ryan Clarkson, a lawyer representing consumers, said he was honored to secure this settlement for consumers, adding that people should be protected when they decide how to spend their hard-earned money. He emphasized that the industry is at a turning point in generative AI technology, and that the choices made by companies and regulators now will shape how this technology affects everyday life in the future.

Upgraded Siri promised but not delivered yet—waiting for iOS 27

The upgraded version of Siri that Apple promised has not yet materialized.

Apple previously announced in January 2025 that it would use Google’s Gemini AI model and cloud technology to power an upgrade to the on-device assistant. At the time, rumors predicted the upgrade would arrive in February, but it ultimately did not happen. Google later confirmed that the upgrade would be released by the end of 2026.

Bloomberg’s latest report says that Apple expects to publicly introduce, at this year’s June conference, support for user-selected third-party AI models in iOS 27, iPadOS 27, and macOS 27 to power Apple Intelligence features such as Siri, writing tools, and an image playground, and that third-party AI providers will also be able to join the support lineup via the App Store.

The outlet also revealed that Apple is testing models from Google and Anthropic internally, and that Siri powered by different AI models can be further configured with different voices.

Related reports:
Apple iOS 27》5 new features leaked—users can also choose Gemini, Claude?

The compensation seems astronomical, but it’s only a drop in the quarterly profit iceberg

Aside from the AI feature marketing deception case, Apple was also previously ordered to pay damages over a Siri recording incident.

That case was ultimately settled for $95 million, but each user only received enough for a single pizza slice. While the $95 million awarded at the time was not a small amount, for Apple it was equivalent to 9 hours of operating profit. In that fiscal year, Apple’s net income reached $93.74 billion.

• Related report: Siri secretly recorded private conversations! Apple ordered to pay $95 million—each user only gets breakfast money?

Now Apple is settling with consumers for $250 million, but based on Apple’s latest financial report, its quarterly net income as of March 28, 2026 was as high as $29.578 billion, meaning the settlement amount accounts for only 0.8% of that quarter’s net income, showing that even in the face of a large settlement payment, the real impact on its overall financials remains limited.

Image source: Apple’s latest financial report