Apple Intelligence Accused of Misleading Advertising to Boost iPhone 16 Sales

Apple’s much-talked-about innovation, Apple Intelligence, is eagerly awaited by many. However, Apple has postponed its launch once more, prompting curiosity and frustration among investors and consumers alike.

On paper, Apple’s AI strategy shows a lot of promise. Yet, those within the company have voiced concerns, suggesting that Apple Intelligence could lag behind OpenAI’s ChatGPT by about two years. It’s a significant gap for a company known for its cutting-edge advancements.

Although Apple has officially announced the delay, they’ve kept mum on the reasons behind it, leaving many to speculate. To make things more complicated, the company faces a lawsuit, filed by some aggrieved customers, accusing them of misleading advertising surrounding their AI plans, according to reports by Axios.

This legal action was initiated in the US District Court in San Jose just this past week. The lawsuit claims that Apple exaggerated the capabilities of Apple Intelligence as it marketed the iPhone 16 series.

People behind the lawsuit argue that Apple knew it couldn’t deliver on the AI promises it promoted, which led to an overwhelming buzz among potential buyers. Notably, they advertised these AI capabilities as if they would coincide with the release of the iPhone 16 lineup.

Adding insight into the topic, veteran Apple analyst John Gruber has labeled Apple Intelligence as “vaporware,” underscoring the skepticism surrounding it.

The lawsuit highlights that Apple’s intensive marketing, which showcased AI features not yet available, misled consumers. This move may have breached several false advertising and consumer protection laws, as suggested by the plaintiffs.

As a result, customers purchased new iPhones for features that remain elusive. Some reports now indicate that these AI functionalities might not see the light of day until 2026 or 2027. Meanwhile, Apple has handed over Siri’s leadership to Mike Rockwell, the man behind Vision Pro, as part of their ongoing AI development.

Moreover, the lawsuit accuses Apple of gaining an undue competitive edge over rivals by flaunting nonexistent AI functionalities, while others in the market either don’t make such claims or fulfill their promises.

Those who initiated the class-action lawsuit are pursuing compensation on behalf of consumers who invested in Apple’s latest iPhones, mainly for the AI enhancements and revamped Siri. They also seek to halt Apple from further promotion of these misleading AI capabilities.