If you bought an iPhone 16 or iPhone 15 at launch so you could start playing with the new Apple Intelligence features, you’ll remember the hype didn’t match the reality: The signature AI abilities weren’t present, and when some arrived later, they weren’t what Apple promised. Now, due to a settlement moving through the courts, you may be able to claim part of a quarter of a billion dollars.

Apple settled a false advertising lawsuit in May, agreeing to pay $250 million to customers who bought the iPhone 16 and some iPhone 15 models during a specified period. The lawsuit alleged that Apple misled customers by promising AI features that didn’t ship when the new devices did. Payouts between $25 and $95 per eligible device are expected.

In an earlier statement to CNET Managing Editor David Lumb, an Apple spokesperson said, “Apple has reached a settlement to resolve claims related to the availability of two additional features. We resolved this matter to stay focused on doing what we do best, delivering the most innovative products and services to our users.”

According to an email from Clarkson Law Firm, the outfit that brought the lawsuit, the case has moved to the next step as of July 17. “The Court has granted preliminary approval of the settlement,” the firm says. “This means the Court has reviewed the proposed terms and found them sufficient to move forward to the next phase; it is not a final ruling on the settlement’s fairness.”

Why is there a lawsuit over Apple Intelligence?

When Apple advertised its new iPhone 16 lineup in 2024, it emphasized how the models were optimized for AI features such as an enhanced Siri that could act as an intelligent agent. When the phones did arrive, Apple Intelligence wasn’t yet ready; its first features didn’t arrive until iOS 18.1, five weeks later.

According to the proposed settlement, “Apple allegedly saturated the market with deceptive ads, inducing consumers to purchase iPhones based on the promise of certain enhanced Siri features.”

Some features of Apple Intelligence did ship soon after the introduction of the iPhone 16 and iOS 18, including Visual Intelligence, Live Translation, Writing Tools, Genmoji and Clean Up. But those weren’t the advanced features Apple highlighted. In fact, the type of intelligent interactions Apple advertised are only starting to show up in Siri AI, which is part of iOS 27 that’s expected to be released later this year. The public beta of iOS 27 is available now.

Who is eligible for the $250 million settlement?

Customers who purchased one of the following devices between June 10, 2024, and March 29, 2025, are eligible to receive a settlement payment:

• iPhone 16
• iPhone 16E
• iPhone 16 Plus
• iPhone 16 Pro
• iPhone 16 Pro Max
• iPhone 15 Pro
• iPhone 15 Pro Max

The iPhone 15 Pro and iPhone 15 Pro Max are included because they had the processor and memory to run Apple Intelligence features.

It’s estimated that approximately 36 million customers are eligible for this settlement.

How to claim your portion of the settlement

For now, you need to wait.

As set forth in the settlement, Apple will provide a list of eligible customers and their contact information to a settlement administrator. 

After the data has been verified, the company Verita will send email and postal notices to those customers directing them to a settlement website. That site has not yet been created. The deadline for filing your claim will be 90 days after your notice arrives.

When can you expect to receive a settlement payment?

According to the settlement, Apple needed to provide the information about affected customers within five days of the settlement approval. As of late July, preliminary approval has been granted by the court.

After the data is provided and verified, a 45-day notice period begins to inform potential consumers that they’re eligible for a payment.

The actual payment of claims will occur within a 60-calendar-day window after the final details, such as exclusions and objections,  have been worked out. That puts the first checks or deposits arriving sometime after September 2026, depending on court dates and possible extensions.

Jeff Carlson

Senior Writer

Jeff Carlson writes about mobile technology at CNET, from cellular phone plans to devices and emerging technology. See full bio