Apple Hit with Shareholder Lawsuit Over Alleged AI Misrepresentations

A new securities fraud lawsuit against Apple alleges the company misled investors regarding the readiness of AI features, particularly with regard to Siri, ahead of the iPhone 16 launch. Filed in San Francisco, the class action claim, led by investor Eric Tucker, targets CEO Tim Cook, CFO Kevan Parekh, and former CFO Luca Maestri. It asserts that Apple gave the impression that Siri’s new capabilities, labeled “Apple Intelligence,” would be ready for the iPhone 16, despite having no viable prototype. Investor disappointment intensified when Apple postponed some AI features to 2026, resulting in a nearly 25% stock drop since December 2024, erasing about $900 billion in market value. Plaintiffs contend that clearer communication about AI progress could have influenced investment decisions. The lawsuit underscores potential accountability for tech companies regarding overpromising AI innovations, raising questions about how they should convey their AI roadmaps to investors.

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