Apple to Pay iPhone Owners Up to $95 in Settlement

Apple will pay eligible U.S. iPhone owners up to $95 each under a proposed class-action settlement resolving claims that the company promoted software features it did not deliver to some users. The agreement was filed in federal court in California and is moving toward a final fairness hearing.

The settlement covers iPhone purchasers who say they relied on Apple’s representations about software capabilities tied to specific models or iOS releases. Class members will be able to submit claims online or by mail during a court-approved claims period.

Payments are capped at $95 per claimant. The final amount each person receives will depend on the total number of approved claims and verification of device ownership. Administrative costs and court-approved attorney fees will be deducted from the settlement fund before distributions.

Plaintiffs alleged Apple marketed new or improved features that were not delivered to some devices, that promised functionality required later hardware changes, or that features were delayed or modified after purchase. The suit sought restitution and other relief on behalf of a broad class of iPhone owners.

Apple denied wrongdoing in court filings but reached the settlement to avoid further litigation and the uncertainty of trial. An Apple spokesperson wrote that the company “reached the settlement to avoid the expense and distraction of continued litigation while continuing to focus on product development and customer support.”

A plaintiffs’ attorney said the agreement will provide relief for customers who purchased phones or upgrades based on promised software that did not materialize, and encouraged affected users to review the notice and file claims before the deadline.

The settlement includes procedures for class members to object or to exclude themselves if they prefer to pursue separate legal action. Notices will be mailed or emailed and posted on a settlement website with instructions for filing claims and submitting objections.

If the judge grants final approval at the fairness hearing, administrators will verify claims and issue payments after the claims period ends. The settlement resolves the litigation without any admission of fault by Apple.