Apple is facing a proposed class action lawsuit in a San Francisco federal court over claims it misled shareholders about its AI plans. The complaint accuses the company of exaggerating the readiness of AI upgrades for Siri, which reportedly harmed iPhone sales and stock value.

The case covers investors who lost money in the year ending 9 June, following Apple's 2024 Worldwide Developers Conference announcements. Shareholders allege Apple presented the AI features as ready for the iPhone 16 despite having no working prototype or clear timeline.

Problems became clear in March when Apple admitted that some Siri upgrades would be postponed until 2026. The lawsuit names CEO Tim Cook, CFO Kevan Parekh, former CFO Luca Maestri, and Apple as defendants.

Apple has not yet responded to requests for comment. The case highlights growing investor concerns about AI promises made by major tech firms.