Apple Ordered to Pay $5.7 Billion Settlement in Patent Lawsuit — Be Wary of Scammers

iPhone next to a judge's gavel representing the Apple patent verdict
Photo via Cult of Mac

A federal jury in San Diego has ordered Apple to pay more than $5.7 billion payout to a small California company called Taction Technology, ruling that the Taptic Engine inside iPhones and Apple Watches infringed two of Taction's patents covering vibration-based haptic technology. The award is being reported as the largest patent verdict of its kind in U.S. history.

Who is Taction?

Taction, which builds its haptic tech into headphones and gaming headsets, sued Apple back in 2021, accusing the company of using its patented designs without a license after buying and taking apart two Kannon headsets that used Taction's technology. Apple denied the claims and argued the patents were invalid. Apple actually won an early dismissal in 2023, but a federal appeals court revived the case last year and sent it back for trial. After a trial that began September 14, seven jurors deliberated for two days before siding with Taction — though they did not find Apple's infringement was willful.

Apple says it strongly disagrees with the verdict and plans to appeal. "Apple's Taptic Engine is fundamentally different from Taction's technology," the company said in a statement. So this case is far from over, and no money is changing hands anytime soon.

Why scammers love a headline like this

Here is the part that matters for this blog: whenever a giant company gets hit with a multi-billion-dollar verdict, phishing scams follow. Criminals spin up fake emails and text messages claiming you are owed a cut of the money — a "settlement payout" from Apple that you can "claim" by clicking a link. There is no such payout. Taction is the company that won the verdict, not iPhone owners, and the case is under appeal anyway.

Expect to see messages with subject lines like "Apple Settlement Payment Available" or "Claim Your $5.7B Lawsuit Payout." They are bait.

Red flags to watch for

  • You are not a party to this case. Random iPhone owners are not receiving money from a patent verdict between two companies. Any message saying otherwise is lying.
  • Urgency tactics. "Claim within 24 hours or forfeit your payment" is classic scam warning language designed to stop you from thinking.
  • Links that do not go to apple.com. Hover or long-press before tapping. Scammers use lookalike domains like apple-claims-support.com.
  • Requests for your Apple ID password, bank details, or a "processing fee." Apple will never ask for a fee to release money it owes you.
  • Sloppy sender addresses. A real legal notice does not come from a Gmail address or a random string of characters.

What to do if you get one

Do not click the link or reply. If you are curious about the real case, go to apple.com or a reputable news site directly by typing the address yourself. You can forward fake settlement emails pretending to be from Apple to reportphishing@apple.com, then delete the message.

Big verdicts make big bait. The $5.7 billion number is real — the email saying some of it is yours is not.

Email Phishing from Bedroom

Email Phishing from Bedroom