Apple is facing a class action securities fraud lawsuit in the U.S. District Court for the Northern District of California, with shareholders led by Eric Tucker accusing the company and its top executives of misleading investors about the readiness of its Apple Intelligence platform—particularly the advanced Siri features. The suit alleges that assurances made during the June 2024 Worldwide Developers Conference implied that AI-driven upgrades would be available in the iPhone 16, despite the absence of a working prototype and no realistic timeline for deployment.
The complaint identifies CEO Tim Cook, CFO Kevan Parekh and former CFO Luca Maestri as defendants, asserting that they downplayed the time needed to integrate advanced AI into Siri. Defendants are accused of misrepresentation and securities fraud after shareholders suffered substantial losses following Apple’s admission of delays on March 7, pushing Siri enhancements to 2026. The class period covers the year ending June 9 2025, during which Apple’s share price has fallen by almost 25 per cent from its December 26 2024 peak—erasing around US $900 billion in market value.
Plaintiffs claim Apple’s AI rollout was significantly more modest than anticipated. While Apple did launch features like Writing Tools and Image Playgrounds in late 2024, enhanced Siri—a major selling point of Apple Intelligence—did not materialise. At the June 2025 Worldwide Developers Conference, upgrades were again muted, disappointing analysts and intensifying investor frustration.
Central to the lawsuit is an alleged gap between Apple’s public statements and the internal progress of its AI projects. Shareholders contend that Apple lacked a functional Siri prototype at the time of its WWDC 2024 announcement, rendering its claims unrealistic. Observers like tech commentator John Gruber described those AI demonstrations as “vaporware,” a view echoed in the suit’s filing.
The lawsuit highlights systemic challenges Apple faces in communicating its AI strategy to investors. It suggests that the company’s announcements gave a misleading impression that advanced Siri capabilities would be a key differentiator for the iPhone 16 experience. As one unnamed industry analyst noted, while the company admitted delay in March, it did not appear again in June to give clarity or reassurance, further eroding confidence.
Apple has not yet issued an official statement in response to the lawsuit. In prior cases, such as the 2025 settlement of US $95 million over Siri privacy issues, the company has defended its actions while emphasising its commitment to user privacy and software quality.
The legal claim raises questions about expectations set for Apple Intelligence, which faced criticism in early reviews for being underwhelming. Observers like The Verge’s Allison Johnson labelled notification summaries a modest step, pointing to a broader trend: while Apple’s AI narrative emphasised “transformative” features, actual releases—including Siri enhancements—have fallen short.
This lawsuit joins a growing wave of scrutiny directed at tech giants over AI disclosure practices. Apple’s legal challenge follows earlier litigation in March 2025 alleging false advertising tied to Apple Intelligence being promoted in major marketing campaigns ahead of delivery. That earlier suit, filed in San Jose, referenced widespread airwaves coverage and featuring actor Bella Ramsey, alleging those ads cultivated unreasonable expectations among consumers.
Apple is now at a critical juncture. Having marketed Siri’s next-generation capabilities as central to its AI push, the company must address whether its internal timelines align with public messaging—and whether investors were misled. The outcome of this suit could define legal boundaries around tech disclosures and reshape how Apple—and its competitors—manage expectations in the rapidly growing AI landscape.