Apple Sued by Investors Over Siri AI Claims, Falling iPhone Sales and Stock
Apple Inc. has been hit with a proposed class action lawsuit by shareholders who allege the tech giant misled them about the progress and potential of its artificial intelligence (AI) developments—particularly its integration with Siri. The lawsuit, filed in a San Francisco federal court on Friday, accuses Apple and key executives of securities fraud and claims the company’s “AI hype” failed to match reality, ultimately hurting iPhone sales and dragging down stock performance.
The complaint covers shareholders who suffered losses during the year leading up to June 9, 2025—a period when Apple’s stock value fell nearly 25% from its all-time high on December 26, 2024. The drop erased an estimated $900 billion in market value. Investors argue that much of the damage stemmed from Apple overstating its AI advancements while downplaying the true timeline and readiness of its Siri improvements.
Led by shareholder Eric Tucker, the plaintiffs said Apple created the impression at its June 2024 Worldwide Developers Conference (WWDC) that advanced AI, marketed as “Apple Intelligence,” would be a game-changing component of the upcoming iPhone 16 lineup. They allege, however, that Apple misrepresented its capabilities, as the company did not have a working prototype of the AI-based Siri upgrades and “could not reasonably believe” the features would be ready in time for release.
The lawsuit also names Apple CEO Tim Cook, current Chief Financial Officer Kevan Parekh, and former CFO Luca Maestri as defendants. It asserts that their public statements misled investors into believing the AI features were more advanced than they actually were, which allegedly inflated Apple’s stock price temporarily and contributed to substantial financial losses once the truth emerged.
According to the complaint, the first signs of trouble surfaced on March 7, 2025, when Apple revealed it would delay some Siri-related upgrades to 2026. These concerns intensified following the 2025 WWDC on June 9, where Apple’s AI announcements fell short of analyst expectations and failed to generate confidence in the company’s position against competitors like Microsoft, Google, and OpenAI.
The shareholders are seeking damages for what they describe as “hundreds of billions of dollars” in losses tied to Apple’s misleading statements. The case, officially titled Tucker v. Apple Inc et al, has been filed in the U.S. District Court for the Northern District of California under docket number 25-05197.
Apple has not issued an official response to the lawsuit. The company has yet to comment on whether it will contest the allegations or seek to settle the matter.
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