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Apple's AI promises are coming back to haunt it

Mar 21, 2025 - businessinsider.com
Apple is facing a lawsuit for allegedly misleading consumers about the AI capabilities of its iPhone 16. The lawsuit, filed by Clarkson Law Firm, accuses Apple of false advertising and unfair competition, claiming the company did not deliver on promised AI features, particularly enhancements to Siri. The plaintiffs, led by iPhone 16 owner Peter Landsheft, argue that Apple took advantage of consumer interest in AI but failed to provide the advertised features, which were supposed to be available after the phone's launch.

The iPhone 16, marketed as the first iPhone "built for AI," has been criticized for not meeting expectations, especially after Apple announced delays in Siri's AI upgrade. The lawsuit highlights Apple's struggle to keep up with AI advancements from competitors like Google and Microsoft. Internally, Apple is reportedly making changes to accelerate its AI development, including replacing the head of Siri. Analysts suggest that while the lawsuit may not significantly impact Apple's stock, it underscores the company's challenges in delivering AI innovations on time.

Key takeaways:

  • Apple is facing a lawsuit for allegedly misleading consumers about AI features in the iPhone 16.
  • The lawsuit accuses Apple of unfair competition, false advertising, and negligent misrepresentation.
  • Apple announced delays in Siri's AI enhancements, which were initially promised for the iPhone 16.
  • The lawsuit highlights concerns about Apple's ability to compete with AI advancements from rivals like Google, Meta, and Microsoft.
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