Apple Settles Siri Privacy Lawsuit for $95 Million Amid Allegations of Eavesdropping

Apple, the tech giant celebrated for its privacy-first approach, has agreed to pay $95 million to settle a class-action lawsuit accusing its virtual assistant Siri of secretly recording conversations and sharing them with advertisers. The proposed settlement, filed Tuesday in a federal court in Oakland, California, seeks to resolve a five-year legal battle over privacy concerns.

The lawsuit alleged that Siri-enabled devices, including iPhones, recorded users’ conversations without consent, even when the virtual assistant wasn’t intentionally activated by the phrase “Hey, Siri.” According to the claims, these recordings were shared with advertisers to better target consumers with relevant products and services, raising concerns about Apple’s commitment to user privacy.

Allegations Contradict Apple’s Privacy Promises

Apple has long marketed itself as a champion of user privacy, with CEO Tim Cook frequently emphasizing the company’s dedication to safeguarding customer data as “a fundamental human right.” However, the allegations — spanning over a decade — painted a starkly different picture.

Despite agreeing to the settlement, Apple denies any wrongdoing. The agreement still requires approval from U.S. District Judge Jeffrey White, with a hearing scheduled for February 14 in Oakland to review its terms.

Consumer Compensation and Legal Costs

Tens of millions of U.S. consumers who purchased Siri-equipped devices between September 17, 2014, and the end of 2023 could file claims. Eligible consumers may receive up to $20 per device, capped at five devices per claimant. Actual payouts could vary depending on the number of claims submitted, with estimates suggesting only 3% to 5% of eligible users are likely to file.

The settlement represents a small fraction of Apple’s $705 billion in profits since 2014. It is also significantly lower than the $1.5 billion in damages attorneys estimated Apple could face if found guilty of violating privacy laws at trial. Lawyers for the plaintiffs are expected to request up to $29.6 million from the settlement fund to cover legal fees and expenses.

A Privacy Wake-Up Call

This settlement highlights the challenges of maintaining privacy in an increasingly tech-driven world. While Apple’s reputation as a privacy advocate remains strong, the allegations underline the difficulty of aligning corporate promises with technological practices.

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