UNITED STATES: In a pivotal decision, the U.S. International Trade Commission (ITC) has ordered a potential ban on the import of Apple Watches due to a violation of medical technology company Masimo’s patent rights. The ruling affirms a judgement from January, asserting that Apple infringed on Masimo’s rights concerning light-based technology for blood oxygen level readings.
However, the ban’s immediate impact is on hold, pending a 60-day review by President Joe Biden’s administration, during which they will assess potential policy concerns. Historically, such bans have rarely been vetoed by sitting presidents.
After this review period, Apple retains the option to appeal the decision to the U.S. Court of Appeals for the Federal Circuit. An Apple spokesperson expressed the company’s stance, stating, “Masimo has wrongly attempted to use the ITC to keep a potentially lifesaving product from millions of U.S. consumers while making way for their watch that copies Apple.” They further emphasized their commitment to pursuing an appeal.
Representatives from Masimo have not yet provided a statement regarding the ITC’s decision. Notably, the ITC ruling does not specify which models of Apple Watches might be affected by the potential ban. Masimo’s initial complaint in 2021 targeted the 2020 Apple Watch Series 6, the first model equipped with blood-oxygen monitoring capabilities.
Masimo alleges that the infringing Apple Watches were manufactured in China, although Apple has since relocated some of its production to Vietnam. This case forms part of a larger global intellectual property dispute between the two companies.
This development comes amidst an ongoing legal battle between Apple and Masimo, with the latter accusing the tech giant of appropriating its technology for integration into various Apple Watch models. A California federal court trial on Masimo’s claims ended in a mistrial in May.
Simultaneously, Apple has filed a patent infringement suit against Masimo in federal court in Delaware, characterizing Masimo’s legal actions as a strategic manoeuvre to pave the way for its competing smartwatch.
The ITC has also previously issued an import ban on Apple Watches in a separate patent dispute with medical technology company AliveCor. However, this ban has been temporarily suspended, pending proceedings to determine the validity of AliveCor’s patents.
According to a recent company report, Apple’s wearables, home, and accessory business, including the Apple Watch and AirPods, generated $8.28 billion in revenue during the third quarter of 2023.
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