Apple requests federal judge to dismiss Siri AI fraud lawsuit

Apple is currently facing a legal battle in court as it seeks to dismiss a class-action lawsuit that alleges the company misled its shareholders. The lawsuit revolves around two significant challenges that Apple has recently encountered: the launch of advanced Siri AI features and the repercussions of the Epic Games injunction. In a filing submitted to a San Jose federal court on February 25, 2026, Apple argued that the accusations are baseless and lack evidence of intentional misconduct. The lawsuit, spearheaded by South Korea’s National Pension Service, claims that Apple’s actions led to billions of dollars in stock market losses for investors between May 2024 and May 2025.

The first part of the lawsuit asserts that Apple made exaggerated claims about its artificial intelligence capabilities during the June 2024 Worldwide Developers Conference (WWDC). Shareholders allege that Apple was aware that its advanced Siri features, such as personal context and on-screen awareness, would take longer to develop than initially indicated. This, they argue, misled investors prior to the iPhone 16 launch. Apple’s legal team disputes this, stating that there is no evidence that executives were aware of these delays at the time of the announcements. While CEO Tim Cook acknowledged in 2025 that the development of a “more personal” Siri was taking longer than anticipated, the company defends that changing timelines are common in the development of sophisticated technology.

The second major claim in the lawsuit relates to Apple’s response to a court order stemming from its legal dispute with Epic Games in 2021. The order required Apple to allow developers to link to external payment systems to bypass the standard 30% commission on the App Store. However, Apple implemented a new system that still charged a 27% fee, which a judge later deemed a “willful violation.” Apple contends that it never promised flawless compliance procedures. The company asserts that it made efforts in good faith to adhere to the court’s directives while safeguarding its intellectual property. Apple maintains that the lawsuit erroneously transforms a intricate regulatory matter into an allegation of securities fraud.

Do you believe that Apple adequately communicated its AI development timeline, or do you think shareholders should have been informed about potential delays sooner? Share your thoughts in the comments section below. Stay informed about the latest developments by accessing the Appleosophy App on the App Store or visiting our website.