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Apple Sued for AI Delays, Consumers Allege Deceptive Marketing

Apple faces a lawsuit over delayed AI features, with consumers alleging deceptive marketing. The case challenges Apple's transparency in AI product launches.

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24 March 2025 2:54 PM IST

Apple is facing a class-action lawsuit alleging that the company misled consumers about its AI-driven Apple Intelligence features. Filed Wednesday in the U.S. District Court for the Northern District of California, the lawsuit claims Apple falsely advertised AI capabilities that were not yet available, prompting customers to upgrade their devices under false pretenses.

Apple introduced Apple Intelligence at its Worldwide Developers Conference (WWDC) in June 2024, highlighting advancements in AI-powered writing tools, image processing, and an upgraded Siri. The company promoted these features as major innovations set to launch with the iPhone 16 series and other Apple products. However, the lawsuit alleges that the company continued to advertise these features despite missing its rollout deadlines.

Initially expected in the iOS 18.4 update, the AI-enhanced Siri was delayed indefinitely. Customers who upgraded their devices in anticipation of these AI features now claim they were misled. The lawsuit argues that Apple knowingly marketed a product that was not ready for release, resulting in financial losses for users who purchased devices based on the promised technology.

Many Apple users who upgraded their iPhones expecting immediate AI enhancements now feel shortchanged. The lawsuit seeks damages for affected customers who purchased iPhones and other Apple products based on the company's promotional materials. Plaintiffs argue that Apple’s failure to deliver on its promises amounts to deceptive business practices.

This legal challenge highlights broader concerns over the tech industry’s frequent practice of announcing features prematurely. While it is common for companies to introduce new capabilities ahead of their launch, the suit contends that Apple’s lack of transparency about the delays misled buyers.

Reports indicate Apple has struggled with its AI strategy, trailing competitors such as Google and Samsung. Internal tensions over the development of Apple Intelligence have reportedly led to leadership changes. CEO Tim Cook is said to have expressed dissatisfaction with AI chief John Giannandrea’s progress, leading to the appointment of Mike Rockwell, previously overseeing Apple Vision Pro, as the new head of Siri development.

In response to AI competition, Apple has reportedly integrated third-party AI models, including ChatGPT, into its software ecosystem to bridge the gap. Employees within Apple's AI division now anticipate that the long-awaited Siri upgrade may not be available until iOS 20, potentially delaying its release to 2027.

Legal experts suggest that if the lawsuit gains traction, Apple may be compelled to take corrective actions, such as:

- Providing a clear timeline for Apple Intelligence deployment.

- Offering refunds or compensation to affected consumers.

- Enhancing transparency in future product marketing.

Industry analysts predict that Apple may opt for an out-of-court settlement to minimize reputational damage. Apple has not yet issued an official response to the lawsuit.

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