Apple has agreed to pay up to $250 million as part of a settlement resolving allegations that it misled customers by advertising AI features on iPhone 15 and 16 models that were not available at launch. Eligible buyers can expect payouts ranging from $25 to $95 per device.
- Settlement covers iPhone 15 Pro, 15 Pro Max, and iPhone 16 buyers from mid-2024 to early 2025
- Payouts are estimated between $25 and $95 per eligible device
- Settlement administrator will notify eligible customers by mail and email
What happened
Apple faced a class action lawsuit alleging it misrepresented the availability of Apple Intelligence AI features at the time of the iPhone 15 and iPhone 16 launches. While Apple promoted these new AI capabilities, including an enhanced Siri capable of intelligent assistance, the features were not ready at the device release and arrived weeks later with iOS 18.1.
To resolve the dispute, Apple agreed in May 2026 to a $250 million settlement that will compensate customers who purchased qualifying models between June 10, 2024, and March 29, 2025. The lawsuit claimed Apple’s marketing induced consumers to make purchases based on promises for AI functions that were delayed.
Why it matters
This settlement highlights the increasing scrutiny technology companies face over advertising practices, especially regarding AI capabilities that are a major selling point for new hardware. Consumers rely on timely delivery of promised features, and failure to meet expectations can lead to significant legal and financial consequences.
For Apple, it underscores the risks involved in promoting emerging technologies before they are fully ready. The company’s willingness to settle indicates a preference to focus resources on product innovation rather than extended litigation, but also sets a precedent for accountability in AI marketing claims.
What to watch next
Apple will provide customer data to a settlement administrator, Verita, who will send notifications to affected buyers by email and postal mail. The official settlement website is expected to launch soon, allowing eligible users to file claims within 90 days of receiving notice.
Payments will be processed after the notice period and any objections are resolved, with anticipated disbursements starting after September 2026. Consumers owning the specified iPhone 15 Pro, 15 Pro Max, or iPhone 16 models purchased during the eligible timeframe should monitor for communications to ensure they do not miss claiming their share.