| By Loc Le |

Apple’s latest iteration of their flagship Apple Watch models has been embroiled in controversy this past holiday season in the United States as the tech giant navigates a legal dispute with medical technology company Masimo. The situation began unfolding in October when the US International Trade Commission (ITC) agreed that Apple infringed on two of Masimo’s patents for blood oxygen level reading technology found in Apple Watches as early as the Apple Watch Series 6 model which was released in 2020. As a result of the ITC’s ruling, the case was forwarded to the Biden administration for a 60-day Presidential Review Period where President Biden could veto or enforce the ruling by December 25, 2023. 

No Holiday Court Ruling Gifts for Apple in December

As a preemptive measure and prior to Biden’s decision, Apple announced via a statement to 9to5Mac that beginning on December 21, 2023, the Apple Watch Series 9 and Apple Watch Ultra 2 would no longer be available for purchase on their website and that in-store purchases would be stopped after December 24, 2023. The statement also expressed that “Apple strongly disagrees with the order and is pursuing a range of legal and technical options to ensure that Apple Watch is available to customers” and that if the order were to be upheld, “Apple will continue to take all measures to return Apple Watch Series 9 and Apple Watch Ultra 2 to customers in the U.S. as soon as possible.” Unfortunately for Apple, the Biden administration ultimately decided on December 26, 2023, to not veto the order. This meant that the ITC’s ruling on the ban on imports and sales of Apple Watches that contained the infringed blood oxygen level reading technology would be in full effect. Considered a victory for Masimo, a spokesperson of the company also stated that the outcome was “a win for the integrity of the U.S. patent system, and ultimately American consumers.”

The Appeals Court Takes the Case

In response, Apple promptly appealed the ITC’s ruling and was able to successfully get the import ban temporarily lifted by the U.S. Court of Appeals for the Federal Circuit on December 27, 2023. As a result of the appeal, Apple was permitted to immediately make the Apple Watch Series 9 and Apple Watch Ultra 2 available for purchase again in the United States while simultaneously waiting for the ITC’s response to the company’s request for extending the lifted import ban throughout the entirety of the appeals process. Unfortunately for Apple, this request was opposed by the ITC on January 10, 2024, as they stated that Apple “presented a weak and unconvincing case.” And to make matters even worse for Apple, the U.S. Court of Appeals for the Federal Circuit pronounced on January 12, 2024, that the two earlier decisions favoring Masimo made by a patent tribunal would be upheld. 

January Brings Good News for Masimo

Despite the unfavorable results for Apple, the company appears to have been prepared for the worst as around the same time that the import ban was temporarily lifted, it was announced that a redesign for the Apple Watches was submitted for customs approval. While the company did not publicly release information regarding the proposed redesign, a federal court filing made by Masimo on January 15, 2024, revealed that Apple is planning to remove the pulse oximeter function from the Apple Watches. Although additional details regarding the proceedings for Apple’s proposed redesign are currently confidential, it has been confirmed by an attorney for Masimo that the enforcement branch of the U.S. Customs and Border Protection has approved the redesign which would allow the Apple Watches to continue being imported to the United States as long as the pulse oximeter function is removed. 

Time Will Tell What’s Next for the Apple Watch

Given the decision made on January 17, 2024, to deny Apple’s request to extend the lifted import ban by the U.S. Court of Appeals for the Federal Circuit, Apple will have no choice but to implement the proposed redesign as imports and sales of the Apple Watches with the infringed blood oxygen features will officially be banned starting on January 18, 2024. In what has been a lengthy legal dispute for Masimo that is estimated to still take another year, it finally seems like the tides are turning in favor of the company as a Masimo spokesperson said that “Apple’s claim that its redesigned watch does not contain pulse oximetry is a positive step toward accountability.”