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Apple sued for overpromising AI in iPhone 16 marketing

Apple faces a federal lawsuit over Apple Intelligence delays, with claims of false advertising.

By
Shubham Sawarkar
Shubham Sawarkar's avatar
ByShubham Sawarkar
Editor-in-Chief
Shubham Sawarkar is a technology journalist at GadgetBond, covering Apple, AI, consumer technology, software, gadgets, and product launches. His work explores emerging technologies, industry developments, product...
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Mar 21, 2025, 3:45 AM EDT
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The Apple logo, a white silhouette of an apple with a bite taken out of it, is displayed in the center of a circular, colorful pattern. The pattern consists of small, multicolored dots arranged in a radial pattern around the apple. The background is black.
Image: Apple
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it’s June 2024, and Apple’s Worldwide Developers Conference (WWDC) is in full swing. The tech giant unveils its shiny new thing—Apple Intelligence—a suite of AI-powered features promising to revolutionize your iPhone experience. A smarter Siri, slick text generation, maybe even a dash of that futuristic vibe we’ve all been craving. The crowd goes wild, the internet buzzes, and pre-orders for the latest iPhones start stacking up like pancakes at an all-you-can-eat brunch. Fast forward to March 19, 2025, and Apple’s now facing a federal lawsuit claiming it all amounted to a big, fat pile of false advertising.

The suit (PDF version), dropped on Wednesday in U.S. District Court in San Jose, isn’t pulling punches. It accuses Apple of hyping up Apple Intelligence to the moon and back, only to leave customers holding devices that—surprise!—don’t actually have the promised goods. Filed by the Clarkson Law Firm (yep, the same folks who’ve tangled with Google and OpenAI over AI shenanigans), the complaint is gunning for class-action status and a hefty chunk of change for anyone who shelled out for an “Apple Intelligence-capable” iPhone or other device. So, what’s the beef? Let’s dig in.

The hype machine in overdrive

If you were anywhere near a screen last summer, you probably couldn’t escape Apple’s marketing blitz. Ads were everywhere—TV, YouTube, your X feed—painting Apple Intelligence as the next big leap in tech. The lawsuit claims Apple “saturated the internet, television, and other airwaves” with promises of “transformative features” that would supposedly be ready to roll when the new iPhones hit shelves in September. Think of an upgraded Siri that could finally understand you, AI-driven tools to make your texts sound cleverer than you are, and a whole lot of buzz about Apple catching up in the AI arms race.

One ad in particular, starring The Last of Us alum Bella Ramsey, had folks talking. In it, Ramsey showed off a Siri that could allegedly handle complex tasks with ease—think “find me that photo from last summer and text it to Mom” levels of smart. The vibe? Apple was about to drop a game-changer, and you’d be a fool not to upgrade. According to the suit, this wasn’t just clever marketing—it was a calculated move to juice up demand, convince people to fork over premium prices, and flex on competitors like Google and Samsung, who’ve been flexing their own AI muscles for a while.

The problem? When those shiny new iPhones landed in customers’ hands, Apple Intelligence was nowhere to be found. Or, at best, it was a watered-down shadow of what was promised. “Contrary to Defendant’s claims of advanced AI capabilities,” the suit reads, “the Products offered a significantly limited or entirely absent version of Apple Intelligence, misleading consumers about its actual utility and performance.” Translation: you paid for the Ferrari, but you got a golf cart.

Apple didn’t exactly hide the fact that things weren’t going to plan. By late 2024, the company admitted that key Apple Intelligence features—like that souped-up Siri—weren’t coming anytime soon. Reports from reputable outlets like Bloomberg and The Verge pegged the delay to sometime in 2025, with some features possibly not arriving until spring or later. (As of today, March 20, 2025, we’re still waiting on the full rollout.) The company blamed the usual suspects: software bugs, the need for more testing, and the sheer complexity of cramming cutting-edge AI into a phone without it melting in your pocket.

Fair enough—delays happen. But the lawsuit argues Apple knew this was a possibility all along and still pushed the hype train full steam ahead. “Apple’s advertisements… cultivate a clear and reasonable consumer expectation that these transformative features would be available upon the iPhone’s release,” the filing states. And when that didn’t happen? Well, Apple didn’t exactly rush to set the record straight. That Bella Ramsey ad? It quietly vanished from YouTube, but the suit says plenty of other “false representations” are still floating around, unretracted and unaddressed.

Clarkson Law Firm: the AI watchdog

The folks at Clarkson Law Firm aren’t new to this rodeo. They’ve made a name for themselves going after tech giants over AI-related fibs. They sued Google for allegedly overselling its AI prowess and took on OpenAI over privacy concerns tied to ChatGPT. This time, though, it’s a different flavor of beef: they’re not mad about what Apple’s AI does—they’re mad about what it doesn’t do. It’s a bold pivot, and one that could resonate with anyone who feels duped into buying a device that didn’t live up to the hype.

The suit’s asking for damages—how much, they don’t say yet—and wants to rope in anyone who bought an iPhone or other device expecting Apple Intelligence to be part of the deal. That could be a lot of people. Apple’s iPhone 16 lineup, launched in September 2024, was marketed heavily around its AI potential, and millions flew off the shelves. If this thing gets class-action status, it could turn into a legal headache of epic proportions for Cupertino.

What’s next?

Apple hasn’t commented publicly on the lawsuit yet, but you can bet their PR team is scrambling. The company’s no stranger to legal tussles—remember the “Batterygate” fiasco?—but this one stings a little extra. AI is the hottest ticket in tech right now, and Apple’s been playing catch-up after years of letting Siri languish. Apple Intelligence was supposed to be their big “we’re back in the game” moment. Instead, it’s looking more like a fumble.

For consumers, it’s a classic case of “buyer beware.” Did Apple oversell and underdeliver? The courts will decide.

So, where does that leave us? If you’re one of the millions who bought into the Apple Intelligence dream, you might be eligible to join the suit—or at least keep an eye on it. For the rest of us, it’s a front-row seat to a tech drama that’s only just beginning.


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