Pomerantz Law Firm Announces the Filing of a Class Action Against Apple Inc. and Certain Officers - AAPL

Core Viewpoint - A class action lawsuit has been filed against Apple Inc. and certain officers for alleged violations of federal securities laws during the Class Period from June 10, 2024, to June 9, 2025, related to misleading statements about the integration of advanced AI-based Siri features into its products [1][7]. Company Overview - Apple Inc. is a multinational technology company primarily engaged in the design and manufacturing of smart devices and computers, as well as entertainment and artificial intelligence [3]. - The iPhone is Apple's highest revenue product, with the latest model, iPhone 16, introduced in October 2024 [4]. AI Development and Competition - Apple has faced pressure from competitors like Google, Microsoft, and Amazon, who have launched advanced AI capabilities, prompting Apple to enhance its Siri features [5]. - At the 2024 Worldwide Developer Conference (WWDC), Apple announced advanced AI-based Siri features as a key selling point for the iPhone 16, but lacked a functional prototype at that time [6][15]. Allegations and Misleading Statements - The lawsuit alleges that Apple made materially false and misleading statements regarding the integration timeline of advanced AI-based Siri features, which were unlikely to be available for the iPhone 16, potentially harming sales and overstating the company's financial prospects [7][8]. - Following the announcement of delays in Siri updates on March 7, 2025, Apple's stock price fell significantly, reflecting investor concerns over the company's ability to deliver promised features [9][10]. Market Reaction and Analyst Reports - After the announcement of delays, Morgan Stanley lowered its price target for Apple, indicating that the delay would impact iPhone upgrade cycles [10]. - Subsequent stock price declines were noted after critical media coverage and lack of updates at the 2025 WWDC, which was described as underwhelming [12][14]. Internal Concerns and Future Outlook - Internal communications revealed that Apple executives expressed doubts about the functionality of the promised AI features, with some suggesting that development might need to start from scratch [16].