(In May 5 story, corrects paragraph 3 to reflect the case did

not allege shareholder harm, but rather harm to class members

who paid higher prices for their phones based on Apple's ( AAPL ) feature

announcements)

By Stephen Nellis

SAN FRANCISCO, May 5 (Reuters) - Apple ( AAPL ) on

Tuesday settled for $250 million a consumer class action brought

after the company delayed artificial-intelligence upgrades to

its Siri voice assistant.

The lawsuit, filed by Peter Landsheft in U.S. federal court in

California in 2024, arose after the iPhone maker announced - and

started running advertisements for - a bevy of AI upgrades at

its annual software developer conference in 2024, saying they

would become available with new iPhones that fall.

The iPhones launched without those features. The plantiffs'

theory of harm in the case is that Apple ( AAPL ) misled class members

into paying a price premium for their iPhones.

In 2025, Apple ( AAPL ) said that the AI overhaul of Siri would not come

until this year, and executives have now confirmed that the new

Siri features will be unveiled at Apple's ( AAPL ) annual developer

conference next month.

Apple ( AAPL ) did not admit to any fault in the settlement, which

still needs approval from a judge. In a statement, Apple ( AAPL ) said it

released numerous other AI features since the launch of what it

calls Apple Intelligence in 2024.

"Apple ( AAPL ) 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," the company

said in a statement.