Apple will pay up to $95 per person to settle a class action lawsuit alleging the company misled consumers about Apple Intelligence features. The lawsuit stems from claims filed last year that Apple's advertising overstated the AI capabilities available on iPhones when the products launched.

The settlement targets iPhone buyers who purchased devices marketed with Apple Intelligence functionality but discovered the features were either unavailable or limited on their models. Apple Intelligence, the company's branded AI suite, rolled out gradually across iPhone 15 Pro and Pro Max models in late 2024, creating confusion about which devices qualified for the full experience.

The class action alleged Apple's marketing materials suggested broader AI feature availability than actually existed at purchase time. The settlement amount reflects per-claim payouts rather than a single lump sum, with the total settlement pool remaining unconfirmed pending final court approval.

This settlement reflects the broader regulatory scrutiny AI marketing has drawn from consumer protection officials. The Federal Trade Commission and state attorneys general have increasingly challenged tech companies for overstating artificial intelligence capabilities in product launches and advertising campaigns.

Apple Intelligence integrates generative AI across iOS, iPadOS, and macOS, including writing tools, image generation, and Siri enhancements. The staggered rollout created friction in the market, with early adopters discovering promised features arriving months after purchase.

The settlement doesn't represent admission of wrongdoing by Apple but signals the company's preference to resolve litigation quickly rather than fight protracted class action disputes. Eligible claimants will need to provide proof of iPhone purchase and demonstrate they encountered discrepancies between advertised and available AI features.