Supposedly the main blocker for launching is because Apple would consider it reputational damage if the AI hallucinates. They have a very conservative approach when it comes to LLMs (on the other hand they are happy to scan all your photos and messages in the guise of child safety and send the data to the government and ChatControl).
Problem is, Siri is already damaging Apple's reputation with how useless it is..
Yeah, I guess I've always distinguished "hallucinating" as e.g I asked for a chicken soup recipe and it told me how to make cyanide. Vs some social media person prompt hacking it to say fascism is good, etc. I've seen more of the latter than the former.
I remember buying the iPhone 4S in 2011, and it being the first iPhone to ship with Siri. It's 2025, and Siri is still fundamentally useless.